Greece and ExxonMobil sign ‘historic’ offshore gas deal in the Ionian Sea

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Greece has taken a major step toward reviving its offshore energy ambitions with the signing of a new exploration agreement in the Ionian Sea involving ExxonMobil, Energean, and Helleniq Energy.

The deal, signed in Athens during the US-Greece Partnership for Transatlantic Energy Cooperation (P-TEC) meetings, covers Block 2, a 2,422-square-kilometre area northwest of Corfu believed to hold significant untapped gas potential.

The concession sees ExxonMobil holding a 60% stake, Energean 30%, and Helleniq Energy 10%. Energean will lead the exploration phase, with ExxonMobil set to assume control should drilling prove commercially viable.

The venture, estimated to require between $50 million and $100 million, aims to begin exploratory drilling by late 2026 or early 2027, with potential production in the early 2030s.

According to Exxon’s vice president of global exploration, John Ardill, “This significant exploration agreement paves the way for potential future exploratory drilling investments in the 2027 timeframe.” He added that the Ionian project could become a key Mediterranean milestone if results are favourable.

Greek Prime Minister Kyriakos Mitsotakis hailed the agreement as “historic,” declaring, “Today we are writing a new chapter in Greece’s energy history. This is not just another investment. It is the first exploratory drilling in our country in almost 40 years.”

The Energy Ministry described the project as “high-risk, high-reward,” while Energean CEO Mathios Rigas emphasised that “this agreement represents an important step toward harnessing Greece’s natural resources and strengthening our country’s role on Europe’s energy map.”

The move also signals renewed US interest in Greek offshore exploration, following recent developments involving Chevron. As new US ambassador Kimberly Guilfoyle put it, “America is back and drilling in the Ionian Sea.”

If successful, the project could mark a turning point in Greece’s efforts to establish itself as a regional energy hub and reduce European dependence on external gas sources.

Source: Ekathimerini

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