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Introduction
In August 2013, the Company submitted an application, proposed work programme and budget to the Italian Ministry of Economic Development for four exploration areas offshore Italy in the Southern Adriatic. The Company’s four Application Blocks are contiguous with the Italian median lines abutting Croatia, Montenegro and Albania respectively. Eni and Novatek were awarded acreage in Montenegro in 2016, with a forecast programme in excess of $100m. These blocks are only 35km from Global’s acreage.
- Global submitted applications for 4 permits in the southern Adriatic in Q3 2013
- Blocks are contiguous with Cabot Energy’s applications/blocks to the south and adjacent to the median lines with Albania, Croatia and Montenegro
- Multiple play types for oil and gas
- Proven hydrocarbon basin: Aquila field; Giove, Medusa, Falco & Rovesti discoveries
- Appeals were lodged by various interested bodies against the Environmental Decrees granted for the 4 applications in 2016 and 2017. Most of the appeals were rejected with the exception of 1, which was referred to the European Court.
- In January 2022, the European Court found, in effect, that the Company’s four Permit Applications do not contravene EU law. However, the Court makes that finding subject to two conditions: first, such a grant must be capable of ensuring the best possible exercise of the exploration activity concerned, from both a technical and economic point of view, and the achievement of the objectives pursued by Directive 94/22. Second, in the context of the environmental impact assessment, the national legislation must take into account the cumulative effect of projects likely to have significant effects on the environment, presented by that operator in its applications for hydrocarbon exploration permits. Accordingly, the Company intends to consult with its advisers regarding the best way forward.
- A moratorium on hydrocarbon exploration activities in Italy expired in the latter part of 2021. Global is advised that the Commission appointed by the Government in parallel with the moratorium has completed its deliberations and that the Hydrocarbon Plan for future exploration and development (known as PITESAI) will be published shortly.
