Albpetrol granted natural gas licence ahead of privatization

TIRANA, Aug. 7 – Ahead of its privatization, Albania’s Energy Regulatory Entity (ERE) has granted oil producer Albpetrol licences to transmit and distribute natural gas. The decision is expected to increase interest from potential bidders and raise the company’s market value in the Sept. 7 tender.
The natural gas licences will be most beneficial especially if the Trans Adriatic Pipeline, TAP, the only project including Albania in its route, is given approval by the BP-led Shah Deniz consortium in Azerbaijan to carry Caspian gas to Western Europe.
ERE has also equipped Albpetrol as a qualified wholesale supplier of energy. The state owned giant has also been granted several exclusive oil exploration rights
Some 14 companies have expressed interest to submit bids on the privatization of Albpetrol, the biggest remaining state-owned asset. Bids were initially supposed to be submitted on July 26 but the ministry extended the deadline to Sept. 7 after interested companies had asked for more time to review documentation and make site visits.
Patton Boggs, the U.S. consultant in the sale of Albpetrol, estimated its market value at around $420 million last December. Companies expressing an interest by taking the initial bid documents include Russian group Gazprom Neft, Calgary-based Bankers Petroleum, Petromanas, Calik Enerji and Yildizlar SSS Holding of Turkey, Chinese GPRO Group, Czech MND a.s., Chicago-based Silkroad Equity LLC, Oslo-based Tiway Oil AS based, and Canadian firm Triple Five International.