OMV Petrom and Romgaz Commence Drilling First Gas Production Well in Neptun Deep Project

OMV Petrom, Southeastern Europe’s integrated energy player, and Romgaz, Romania’s largest producer and main supplier of natural gas, have started drilling the first gas production well in their multi-well program in the Romanian sector of the Black Sea with a semi-submersible rig, owned by Transocean, a Switzerland-based offshore drilling giant.

The Transocean Barents semi-submersible rig arrived in Constanta in November 2024 to get ready for its 540-day contract, scheduled to begin in April 2025, at the €4 billion Neptun Deep project, which is being developed by OMV Petrom and Romgaz, with each company having a 50% participating interest. The rig embarked on its journey toward the drill site weeks ago.

According to OMV Petrom, Transocean’s rig has commenced drilling the first well for the development and production of the Pelican South and Domino natural gas fields in the Neptun Deep block in the Black Sea. With the project said to be progressing according to plan, the first gas is anticipated in 2027.

CEO’s Statements

Christina Verchere, CEO of OMV Petrom, commented: “The start of drilling is an important milestone for the progress of Neptun Deep – a project of strategic importance for Romania. By developing this project, Romania can secure its natural gas needs from domestic sources and become an important player in the European market.

“In addition, the project contributes to the Romanian economy – it is estimated to bring revenues of around 20 billion euro to the state budget over the project’s lifetime. We are making every effort to implement the Neptun Deep project safely and efficiently, to have the first gas deliveries in 2027.”

Cristian Hubati, Member of OMV Petrom Executive Board, responsible for exploration and production, underlined: “We are excited to move to the next stage of the Neptun Deep project, namely the drilling of the ten wells that will ensure natural gas production, out of which four will be in the Pelican South field and six in the Domino field.

“The first well will be drilled in the Pelican South field, located in waters approximately 120 meters deep, with the gas reservoir situated about 2,000 meters below the seabed. We estimate that the drilling operations for the ten wells will take us into Q4 2026.”

Project Milestones

Furthermore, OMV Petrom explains that the well foundations for Pelican were installed using an advanced technology for offshore drilling, the CAN-ductor from Neodrill, that is perceived to minimize the overall environmental footprint of the drilling process. The first well is estimated to take approximately two to three months to be drilled.

Răzvan Popescu, CEO of S.N.G.N. Romgaz, elaborated: “The commencement of drilling operations represents an essential achievement in Neptun Deep project development. Neptun Deep is a strategic investment for Romgaz, as shown by its contribution in the share of the group’s investments.

“The completion of the project and its first gas delivery in 2027 will strengthen the profile of the Romgaz group on the energy market in Romania and in the region, on both segments, natural gas and electricity production and supply. It will also support the long-term business activities of the Romgaz group, will strengthen its investment capacities and will provide sustainability to them, included in the energy transition strategy.”

Project Partnerships

Halliburton Energy Services Romania and Newpark Drilling Fluids Eastern Europe have been tasked with providing integrated drilling services, with Halliburton’s international and local experience in Romania to be deployed on a wide range of services, such as cementing, directional drilling, and well completions. The latest firm to get a job on this project is Expro.

Aristotel Jude, Deputy CEO of S.N.G.N. Romgaz, highlighted: “The well spud in Neptun Deep is the first offshore key-operation in the Black Sea and represents the fulfillment of the development-exploitation work programs by both titleholders, being within the project schedule.

“Also, for Romgaz, this milestone highlights the commitment into implementation of the Neptun Deep project, its investment capacity, but also the good partnership with the operator, the Ministry of Energy, ANRMPSG, ACROPO and other ministries and authorities involved.”

Environmental Sustainability

Located about 160 kilometers from the shore, in waters between 100 and 1,000 meters, the Neptun Deep block in the Black Sea covers an area of 7,500 square kilometers. The project is expected to have a carbon footprint of around 2.2 kg CO2/boe, seen as being significantly below the industry average of 16.7 kg CO2/boe.

As a result, this, along with other project features, is set to ensure emissions from the Neptun Deep project will be kept to a minimum and significantly below industry benchmarks, based on the operator’s interpretation. OMV Petrom and Romgaz are pouring up to €4 billion into the development of the Neptun Deep project.

Aside from the drilling operations, work continues on various components of the project, such as the production platform, which is under construction, systems for the subsea infrastructure being manufactured, the support field vessel being built, and the natural gas metering station, which is also under construction.

Greenpeace’s analysis from last year put a new spin on the ride-or-die opposition to the project from climate activists by arguing that the giant undertaking presents a danger as the planned drilling and other activities to bring it online will need to take place not only in the middle of a war zone but also in waters filled with sea mines. OMV Petrom and its contractors seem to have found a way around these risks.