Minijos nafta begins prospecting for shale gas in Lithuania
VILNIUS. May 17. (Interfax) - Minijos nafta, one of Lithuania's largest oil producers, has begun prospecting for shale gas, with plans to invest 6.5 million litas in drilling the first well, the company's PR specialist Kristina Paukstyte-Brazdauskiene told Interfax.
Polish enterprise Poszukiwania Naftowe Diament will start drilling the first well in the Silute zone in western Lithuania on Friday.
"This is our licensed area. There is presumably shale gas there, and possibly oil," Paukstyte-Brazdauskiene said. Work will be underway for about two months.
Lithuania's geological service should announce an international tender to prospect for and produce shale gas at new areas in the near future. Besides Minijos nafta, other companies interested in shale gas and other hydrocarbon production in Lithuania include Chevron; Lotos Geonafta, the largest oil producer in Lithuania and controlled by Poland's second-largest oil company Lotos; and Manifoldas, the third-largest Lithuanian oil producer in terms of production volumes.
The volume of shale gas deposits in Lithuania could total 100-120 billion cubic meters (bcm). Lithuanian Prime Minister Andrius Kubilius has said that if such forecasts are confirmed, Lithuania could independently provide for its own gas needs for 30-40 years.
The litas is pegged to the euro at 3.4528 litas/euro.