PSA for onshore activities extended to 2032. Memorandum signed for offshore activities in the country.
Ashgabat (Turkmenistan), 18 November 2014 – The Director of The State Agency for Management and Use of Hydrocarbon Resources, Yagshygeldy Kakayev, the chairman of State Concern Turkmenneft, Tachdurdy Begdjanov, and Eni’s CEO, Claudio Descalzi, today signed an addendum to the Production Sharing Agreement (PSA) with respect to the onshore Nebit Dag Area located in West Turkmenistan.
The agreement was signed in the presence of the President of Turkmenistan, Gurbanguly Berdimuhamedov, and the Italian Prime Minister, Matteo Renzi.The addendum extends the duration of the PSA to February 2032 and a 10% stake out of the contractor share is transferred by Eni, operator of the block, to Turkmenneft. Eni will keep the remaining 90% interest stake in the PSA. This agreement will enable further E&P investments in Burun and other satellite fields of the Nebit Dag block.
In a separate agreement, Eni and the Turkmen State Agency for Management and Use of Hydrocarbon Resources signed a Memorandum to explore the possibility of extending Eni’s activities to Turkmenistan’s offshore sector of the Caspian Sea.
These strategic agreements strengthen Eni’s presence in Turkmenistan, a country with a high exploration upside, where it began activities in 2008, and consolidates Eni’s cooperation with the national authorities and the State company Turkmenneft.