(Tirana) London-based Medoil has signed a petroleum sharing agreement with Albania's Ministry of Economy, Trade and Energy for the Joni-5 offshore concession. The permit area covers 2,500 sq km of the Adriatic Sea off the southern part of the country, extending to the Greek median line. Water depths taper off from the coastline to a maximum of 800 m.
The PSA is for seven years. Medoil's initial obligation is to conduct a 400-sq km 3-D seismic survey during the first two years, followed by a decision to drill or pull out. The company regards the acreage as highly prospective, containing known features that are analogous to other plays in the Adriatic region. Numerous leads and prospects have already been mapped based on interpretation of existing 2-D seismic.