site.btaCabinet Allows Total E&P to Transfer Share of Rights and Obligations for Oil, Gas Prospecting in Black Sea to OMV Offshore Bulgaria

OMV Offshore Bulgaria GmbH - Austria will become the sole permit holder for oil and gas prospecting in the 1-21 Han Asparuh Block in the Black Sea, after the Council of Ministers allowed Total E&P Bulgaria to transfer its share of 57.14% of the rights and obligations under the permit to OMV Offshore Bulgaria GmbH - Austria. 

After the transfer, OMV Offshore Bulgaria now has a 100% share.

Transferring rights and obligations under a granted oil and gas prospecting permit is regulated in the Underground Resources Act.

With Wednesday's Council of Ministers decision, the term of the oil and gas prospecting permit is extended by 23 months due to force majeure, namely the war in Ukraine and the withdrawal of Total E&P Bulgaria from the project. 

The 1-21 Han Asparuh Block in the Black Sea is located in the exclusive economic zone of the Republic of Bulgaria in the deep Black Sea. The contract for the exploration of this territory has been in force since September 2012.

With its decision, the Council of Ministers authorized the Minister of Energy to sign the necessary additional agreements to the contract for oil and gas prospecting natural gas in the 1-21 Han Asparuh Block area within one month.

The contract for oil and gas prospecting in the 1-21 Han Asparuh Block was signed on August 29, 2012 with Total E&P Bulgaria with a five-year term. In 2013, Total was joined by OMV Offshore Bulgaria and Repsol Bulgaria. In 2020, Repsol Bulgaria transferred its stake to the remaining two shareholders. At the beginning of 2024 it became clear that Total is withdrawing from the project.

On July 21, 2023, the Parliament instructed the Minister of Energy to conduct negotiations on the terms and conditions under which Bulgarian Energy Holding (BEH) would acquire up to 20% in the consortium holding the contract for oil and gas exploration and prospecting in 1-21 Khan Asparuh Block.