Stream given OK to develop Delvina gas field

TIRANA, Jan. 23 – Canadian-based Stream Oil & Gas Ltd. has announced that the Ministry of Economy, Trade and Energy of Albania has given its formal approval for the execution of the Plan of Development (“PoD”) for the southern Delvina gas field. The formal approval was the final ratification of the PoD that was submitted in early 2010. The approval of the PoD allows Stream to enhance production and sell petroleum products under Albpetrol’s existing license for a period of 25 years with an option to extend, at the Company’s election, in five year increments thereafter.
Delvina is one of the largest onshore gas fields in south east Europe and the only major producing gas field in Albania. Current production from the two existing wells in the field is 700 mcf/d of natural gas and 47 bbl/mmcf of natural gas liquids (“NGL”).
Connected to potential markets by existing pipelines, Delvina gas field and block production has the capacity to support significant thermal power generation for Albania or the enhanced oil recovery (“EOR”) projects for the Company and others.
“We’re pleased to receive the final ratification of our plan of development for the Delvina field,” said Dr. Sotiris Kapotas, President and CEO. “Natural gas is in extremely short supply in Albania, and as the largest onshore gas field in south east Europe, it provides Stream with the potential to significantly increase available resources. In addition, an internal source for natural gas will contribute to the economics of our future EOR projects.”