Total, Repsol, OMV to Explore for Gas and Oil off Bulgarian Coast

Reuters reported that Total SA (NYSE:TOT), Spain’s Repsol (OTC Pink:REPYY) and Austria’s OMV (OTC Pink:OMVKY) signed an agreement with Bulgaria that allows them to explore for gas and oil in the Khan Asparuh block. The 14,440 square kilometer block is located off Bulgaria’s Black Sea coast and could produce up to 84 billion cubic meters of gas.

As quoted in the market news:

“Today we are paving the way to Bulgaria’s energy independence,” Energy Minister Delyan Dobrev said after the singing.

Bulgaria meets over 90 percent of its gas needs with supplies from Russia’s Gazprom and is seeking ways to diversify its gas routes and sources to cuts costs and boost its energy security.

Dobrev has said that gas production could start in six years, provided that the exploration points to substantial gas reserves.

Click here to read the full Reuters report.