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As of 2023, 81.79% of the energy used at the planetary scale is generated from oil and gas plus coal, the main component of what is usually named fossil fuels (KPMG annual report, 2022). So, its consumption as a percentage of primary energy remained steady. In 2000, this share was 83.14%, less than 2% more than now (Our World in Data).  At the global scale, the reduction is insignificant and has a limited impact on the oil and gas industry. Americans drive their personal vehicles about 3.19 trillion miles a year with 98 percent of their transportation running on petroleum or diesel fuels (US department of Energy). At the planetary scale, the share is 97%. We are far from watching electric ships sail through the Suez Canal or the North Passage. We are also very far from electric trucks crossing the intercontinental highways or electrically-powered aircrafts crossing the intercontinental skies with hundreds of passengers onboard. Politicians, and NGO activists around the Globe have promoted green energy as the way forward with a very quick development. But the reality is different. The transition away from the fossil fuels is definitely way slower and it will take many more years to see a significant trend. Developed countries and especially European Union have imposed strict rules and conditions, investing trillions in “clean energy”. The result is… an over-regulated energy market and higher prices for us all. Mara Roman, deputy head of the European Commission’s Office in Romania, said on 15 March this year that an additional €477 billion would be needed each year to achieve the European Union’s climate targets by 2030. That means €3339 billion in seven years! The supporters of green energy would ask: why not more unconventional energy sooner rather than later? The simple answer is: it is not yet possible. Solar and wind will need a lot of mining in future in order to be able to provide the same amount of energy the mankind needs now from fossil fuels. Much more than 1000% compared with today’s activity. We will need lithium, graphite, iron, silicon, copper, chromium, zinc, cobalt, graphite, rare earth elements. They need to be identified and exploration normally takes many years (average of seven), pre- and feasibility studies also taking one-two years and… we need lots of money and specialists. Are they available? Not on a short term. The young generation is looking for easier jobs like in IT or mobile phone industry, not in exploration in remote areas with limited or no infrastructure. Banks and investment funds won’t decide to invest overnight. The extracted metals would be needed as billions of batteries, solar panels, wind-mil blades, turbines, new generation engines and lots of other parts and components will be requested… Do not forget that these processes will require even more energy! By the way, a special warning: presently, the world is looking desperately for much more cobalt and lithium, but the known resources are very limited and identified only in a few countries. In addition, limited supplies translate into higher costs. The energy industry will need more and more rocks, which means much more mining. The green technologies require much more materials, more diverse and much more energy will be consumed to produce the final result. The cost of the billions of batteries and hundreds of billions of solar panels is made about 60% of raw materials that we don’t have available. Or, at least, not on a short or medium term. And a decent estimation makes us thinking that this cost component will increase as time goes by, and the availability of the raw materials will be more and more limited. Up to present this was not a real issue: although the solar Photovoltaic (PV) is now the most rapidly growing energy generation technology—25% of total installed solar PV generation capacity was added in 2022 alone, PV’s share of global electricity generation rose from around 3.6% in 2021 to around 4.4% in 2022 (National Renewable Energy Laboratory, US). Until now this wasn’t that important in the real world, as the share of solar and wind has been very limited. The very slow increase of the renewables because of the above-mentioned reasons and many others is easily ignored. The green technology advocates do not even mention the very high costs for replacing the battery cells of the electric cars, many times as expensive as a new vehicle. And what to do with the dead batteries? Are we ready to recycle them or to organize intelligent and environmentally-friendly waste industry? This will, of course, add to the general cost and the share will only increase in time. But we cannot leave aside the large- and small-scale politics. Most of the future resources are located in P.R. China which, for many of the newly necessary minerals, is the only producer at the global scale. Developed countries, mainly from Europe and North America are fully dependent on imports from China. Just think how would the decision makers from Beijing behave regarding the export legislation and tough conditions they could and would impose to exports like minerals. The economically-advanced countries would fully depend on Beijing and politics will play a key role. The groups of states will play even more important games (e.g., BRICS, EU, ASEAN, MERCOSUR, ECOWAS etc.) as they will try to influence economical and strategical decisions in their favor on a market with more and more limited resources. On the other hand, advanced countries from North America, Europe may have some important resources, but permitting is a nightmare and, in most of the cases, simply impossible. We want green energy but we ban exploration and mining for the necessary materials. What to do then? In future mankind will certainly need much more energy. This trend was valid all the time in the past and will be the same in the future. We are far better at consuming energy than to generate it. And, as the humanity develops, everybody would like to live better and dream

On December 1st at the COP28 was launched the Annual International Methane Emissions Observatory (IMEO) report in which it is announced that XP has achieved the Gold Standard Pathway status from the Oil & Gas Methane Partnership (OGMP 2.0). This acknowledgment reflects XP commitment to develop a credible and robust implementation roadmap to achieve the highest level in methane emissions monitoring within the next 3 years. This achievement underscores XP’s unwavering dedication to addressing methane emissions with transparency and responsibility. OGMP 2.0 is the leading initiative from the United Nations Environment Program, Environmental Defense Fund, and the Climate and Clean Air Coalition dedicated to improving methane emissions reporting within the oil and gas sector. “We appreciate OGMP’s recognition and look forward to being part of the global effort to address methane emissions in the oil and gas industry. As such, we remain committed to implementing our roadmap and to continue our efforts to reduce methane emissions across our operations and reach our target of 0,2% methane intensity by 2025,” David Martinon – XP’s CEO said. ‘An eye on methane: The road to radical transparency’ 2023 report takes stock of progress harnessing an imminent data revolution that can accelerate methane reduction on a global scale. Credible data has the potential to deliver the transparency needed for rapid climate action, but only if reconciled, integrated, and put into the hands of those who can act on it. The International Methane Emissions Observatory’s third annual report provides decision makers a framework of action to track and monitor methane emissions to plan targeted and ambitious action for their mitigation. OGMP 2.0: Radical transparency in the Oil and Gas sector OGMP 2.0 was engineered to evolve, ensuring that the programme could move from aspiration to practice, while remaining steadfast in its theory of change and embracing the differing starting points of individual members’ journeys to reduce methane emissions. This transformation embraces the process, resulting in credible and steady progress while adhering to the OGMP 2.0 timeline for incremental progress, rather than the endpoint alone. OGMP 2.0 has a principle-based, rather than a rule-based approach, to accommodate the operational diversity of its members and to allow innovation in measurement and mitigation approaches. While members join in various stages of their emission discovery and the required mitigation, Gold Standard reporting sets out rigorous deadlines against which a member must transition its emissions understanding to greater granularity and higher quality. Members commit to improve the quality of their methane emission data to Levels 4 and 5 by the third year of reporting for all material operated assets and by year five for all material non-operated assets. They document this with a comprehensive implementation plan. Through the rapid transition to higher-quality and more complete understanding of emissions, on an asset-by-asset /basis at the source level, operators develop the critical data necessary to implement meaningful mitigation and for asset managers to prioritize capital towards the largest and most cost-effective reduction opportunities. More than half of the current OGMP 2.0 members submitted their second annual report in May 2023. This means that they will transition to Gold Standard reporting in 2024, with implementation of their Level 4 methods and Level 5 reconciliation well under way. About XP XP, former Expert Petroleum, have more than 18 years of operations on redeveloping mature oil and gas fields to make them safer, greener, and more productive. Based on the strong experience the company rebrands in 2022 as XP continuing the journey and support its partners even further towards sustainable upstream operations. XP share its knowledge and expertise both to production enhancement under its Uplift division and operations decarbonization solutions under the Upgreen division.

The year 2022 will go down as the annus mirabilis (remarkable year) in energy history. It has brought a tsunami of events and changes which fundamentally transformed the oil and gas markets.

by Eugen Calin Popa, Design Department Coordinator, METAN GRUP Co-author: Ioan Gheorghe Popa, General Director, METAN GRUP Romania is in the process of modernizing its gas distribution infrastructure by adopting new types of smart gas networks. This technological evolution, especially through the POIM 8.2 program promoted in 2020 (estimated budget 235m EUR), brings multiple benefits, expected for quite a long time, in addition to increased safety in operation and the financial resources allocated by the European Union to promote it. There have been two ways of establishing new distributions in Romania since 1990, namely: a) During the period 1990–2000, gas distributions contracts were carried out through public tender with financing from the government. After completion the networks were handed over for exploitation to one of the two regional operators of distribution systems of that period (Distrigaz Nord or Distrigaz Sud). b) Starting in the 2000s, the Romanian government have granted distribution systems by concession agreement to authorized companies that would implement those by their own financing. In the first period, when funds were allocated by the government, the number of new distributions was relatively high. Once the transition to the concession model occurred, the development of natural gas supply systems in our country significantly decreased. In this context, the POIM 8.2 program, along with funding from the Anghel Saligny national investment program, promise an increase in activities related to the establishment of new natural gas distribution systems. • POIM 8.2 program comprises the design and execution of “intelligent and sustainable electricity and natural gas transport systems”. Smart gas distribution networks are a significant evolution in this field, combining traditional gas distribution infrastructure with advanced communication and monitoring technologies. These sensor networks, monitoring devices, and data analysis are used to manage and control the flow of gas in the network. They allow suppliers to obtain real-time information about the network, including gas pressure and quality, facilitating rapid intervention, and reducing gas losses. • Benefits of POIM 8.2 program The main advantage of this program is the access to the financial resources offered by the European Union in order to establish new distributions in Romania. This brings great benefits both to the beneficiaries of these projects and the contractors, recalling the period when this type of system was put out for execution by public tender. • Issues arising in the implementation of this program and build-up of new distribution networks The program runs from September 2020 till December 2023, so the biggest problem may be the time to complete it. The actual program started with the first stage in September 2020 when approximately 24 potential investments were submitted for analysis. The result of the evaluation of these potential investments was published only in mid-2021. The signing of the financing contracts followed in order to move on to the set-up of design and execution tenders for the selected works. It was thus necessary to complete the work in the remaining 18 months to avoid losing the funds. The second stage of the program allowed to file the documents in December 2020, with the results (the winning bids for qualified works) published only in February 2022. There are thus investments where the design and execution must be completed in less than a year. Under those conditions, we consider there is little chance the selected investments can be completed by the end of this year, and as a result the allocated funds for this program might not be accessed in full. • Identified issues during first stage, bidding One issue has been the lack of experts to create a proper framework for conducting auctions. In the specifications, one may notice many requirements that have nothing to do with the specifics of the works to be performed, more precisely with natural gas supply systems. These requirements have allowed access to this kind of tender to companies involved in water supply works, although Law 123 clearly stipulates that in the field of natural gas only ANRE authorized companies may function. At the same time, these requirements have allowed access to companies with numerous similar contracts yet having significantly less technological complexity. Another issue consists of feasibility studies drawn up incompletely or filed partially or truncated so that it may be impossible to establish the exact way of realizing the natural gas supply system. A feasibility study should be a ‘project’ without a construction permit. During those procedures, many studies without the necessary certificates requested by urban planning were approved, and those can change to a great extent the way to build a natural gas network. • Issues identified during the execution stage Duration of project stages can be mis-estimated. The authorization process and getting necessary approvals for such a project can be complex and delay its implementation. Regulations and technical standards must be closely followed to ensure the safety and reliability of the distribution system. In most cases, 90 days are suggested for the design project. Good collaboration between the beneficiary and the designer, as well as a proper feasibility study to serve as a starting point for the design are necessary to avoid problems. For example, the minimum period required to obtain an approval for a water course sub-crossing is 45–60 days, while getting a discharge from the INMH requires 30 days, and an approval from CFR 2 to 3 months. Having got those, it is necessary to get the execution authorization, for which another 30–60 days are needed. That may not be obtained without the above-mentioned approvals. Thus, one may have only 90 days to work out an effective solution for implementing the system, while delays are possible because of long waiting times for necessary approvals. A better collaboration between the public and private sectors may be one answer to those issues. Public authorities and the companies that are going to execute the projects need to work together to simplify and speed up the authorization process. Clear and coherent regulations reduce administrative delays and are needed to stimulate these fixed-time investments. The establishment of

In today’s competitive and rapidly changing business environment, companies must stay ahead of the curve to ensure their long-term success. A powerful way to achieve this is by adopting international standards that drive excellence, streamline operations, and enhance credibility. This comprehensive guide explores seven essential standards that every organization should consider implementing in order to improve performance and sustainability, along with a bonus industry-specific standard for the oil and gas sector. Discover how these standards can help your business reach new heights, drive innovation, and build a strong foundation for growth. SR EN 9001: Quality management systems SR EN ISO 9001 is the internationally recognized standard for quality management systems. It helps companies consistently provide products and services that meet customer and regulatory requirements. By implementing SR EN ISO 9001, companies demonstrate their commitment to quality, leading to increased customer satisfaction and a stronger brand reputation. This standard is applicable to organizations of any size and in any industry. Benefits of implementing SR EN ISO 9001: Streamlined processes and increased efficiency; Enhanced customer satisfaction; Improved supplier relationships; Greater employee engagement and morale; Better decision-making based on data and performance metrics. SR EN ISO 14001: Environmental management systems SR EN ISO 14001 is the global standard for environmental management systems. It provides a framework for organizations to minimize their environmental impact, comply with relevant legislation, and continually improve their environmental performance. Adopting SR EN ISO 14001 signals a company’s commitment to sustainability, helping to attract environmentally-conscious customers and investors. Benefits of implementing SR EN ISO 14001: Reduced environmental impact and carbon footprint; Improved resource efficiency and waste management; Enhanced compliance with environmental regulations; Strengthened brand reputation and stakeholder trust; Access to new markets and customer segments. SR ISO 45001: Occupational Health and Safety Management System ISO 45001 is an international standard for occupational health and safety management systems. It helps organizations create a safe and healthy work environment by identifying and controlling risks, improving employee well-being, and reducing workplace accidents. Implementing ISO 45001 demonstrates a company’s dedication to employee safety and can lead to reduced absenteeism and increased productivity. Benefits of implementing SR ISO 45001: Improved workplace safety and employee well-being; Reduced costs associated with accidents and occupational illnesses; Enhanced legal compliance and reduced liability risks; Better identification and control of workplace hazards; Increased employee engagement and morale. SR EN ISO/IEC 27001: Information Security Management System SR EN ISO/IEC 27001 is the leading international standard for information security management systems. It provides a framework for managing and protecting sensitive information, ensuring the confidentiality, integrity, and availability of data. By adopting SR EN ISO/IEC 27001, companies can build trust with customers, partners, and regulators, and protect their business from data breaches and cyber threats. Benefits of implementing SR EN ISO/IEC 27001: Strengthened information security and reduced risk of data breaches; Enhanced customer and partner trust; Improved legal and regulatory compliance; Better management of information security risks; Competitive advantage in the marketplace. SR ISO 31000: Risk Management SR ISO 31000 is the international standard for risk management, providing organizations with guidelines for designing, implementing, and maintaining a comprehensive risk management framework. By adopting SR ISO 31000, organizations can identify, assess, and mitigate risks effectively, supporting informed decision-making and enhancing overall resilience. Benefits of implementing SR ISO 31000: Improved decision-making through systematic risk identification and analysis Enhanced organizational resilience and ability to adapt to changes Strengthened stakeholder confidence in the organization’s risk management capabilities Greater alignment of risk management with strategic objectives Proactive identification of opportunities and threats. SR ISO 37000: Governance of Organizations — Guidance SR ISO 37000 is an international standard that provides guidance on the governance of organizations. It covers principles, policies, and practices to help organizations achieve their objectives, meet stakeholder expectations, and ensure long-term sustainability. Implementing SR ISO 37000 can improve decision-making, strengthen accountability, and promote ethical conduct throughout the organization. Benefits of implementing SR ISO 37000 guidance: Enhanced decision-making and strategic planning; Improved accountability and transparency; Strengthened risk management and performance monitoring; Promotion of ethical conduct and stakeholder trust; Support for long-term sustainability and growth. SR EN ISO 29001: Petroleum, petrochemical and natural gas industries — Sector-specific quality management systems — Requirements for product and service supply organizations SR EN ISO 29001 is the international standard tailored for the oil and gas industry’s quality management systems. It is based on ISO 9001 but includes additional industry-specific requirements, ensuring that companies in this sector meet the highest quality, safety, and reliability standards. By implementing SR EN ISO 29001, organizations in the oil and gas industry can improve their operational efficiency, reduce risks, and enhance stakeholder confidence. Benefits of implementing SR EN ISO 29001: Adapted quality management system specific to the oil and gas industry; Enhanced safety, reliability, and environmental performance; Improved risk management and reduction of incidents; Strengthened supply chain management and collaboration; Increased stakeholder trust and market opportunities. Embracing these six game-changing standards, along with the bonus industry-specific standard, is a bold step towards unlocking unparalleled opportunities for growth, performance, and innovation in your organization. Not only will the implementation of these international standards help you foster a culture of continuous improvement, ethical practices, and long-term success, but they will also empower your organization to stand out from the competition. By integrating these standards into the core of your business operations, you will create a strong and resilient foundation that supports your company’s vision and mission. Your team will be equipped with the knowledge, skills, and tools needed to overcome challenges and adapt to an ever-evolving marketplace. Moreover, adopting these standards signals to your customers, suppliers, and stakeholders that your organization is dedicated to excellence, and that their trust in you is well-placed.

Standardization first started in the electrotechnical domain, and, in our country, more organizations having standardization as a purpose have been organized chronologically, since 1927: The Commission for the Romanian Industry Norms, The Office for Rationalization and Normalization, the General Association of Engineers in Romania (AGIR). In 1948 the Romanian Centre for Normalization was established and set out the first draft standards devised and developed in a technical and scientific manner. There were 98 draft standards published and subjected to a public inquiry by means of the `AGIR Normalization Bulletin’, which was issued in 1948. Hence, the first Romanian standard was STAS 1 – Desene tehnice (Technical drawings) published in 1949. The standardization activity in our country is carried out under the coordination of the National Standardization Body (ASRO). ASRO is the platform which creates the framework for the development and adoption of European and international standards available on the market, and also represents Romania, as a full member, in the international and European standardization organizations. (ISO, IEC, CEN, CENELEC, ETSI). For example, Romania has been an ISO member since 1950. The direct outcome of the standardization activity, the standards, have a full impact on security, interoperability, performances and environment, for a large variety of products and technologies and indirectly, for the vast majority of the domains which influence aspects of everyday life, regardless if we speak of energy, manufacture, transport, health, constructions, education, trading, learning, agriculture, animal husbandry, either in cities or in rural areas. As the national standardization body, ASRO promotes, by means of its National Strategy, the principles of a modern standardization system, contributes to the achievement of the strategic objectives of national economy, in general, and actively participates, especially in the industrial policies, services, innovation and technological development domains. Use of standards is the best way to comply with technical regulation and increase of competitiveness of the national industry in the context of the European Single Market. Top Domains for Standards Perhaps one of the most regulated and challenging domains is Constructions. It is in this area where a significant number of standards were developed, with the purpose of being an important instrument for the application of national and European regulations. As an example, Eurocodes have a crucial role. Among the domains which cannot function without standards are food processing – production, analyses and tests, the oil and natural gas industry, energy efficiency, metal and textiles, electronics and electrotechnics, environmental protection – water and air quality, waste, but, also, emerging domains, such as hydrogen, circular economy, additive manufacturing, forensics and nanotechnologies. Getting involved in Standardization  Standardization is open to all its stakeholders, and there are no barriers in this respect. Standards are developed within technical committees (TC), which are created on the basis of some important principles, such as equitable representativeness and consensus. Within the national technical committees, specialists who choose to become members are the voice of the companies – representatives of the business environment, the research& academic environment, the inspection bodies, authorities, but also stakeholders from the society environment – such as those who defend the rights of the consumers, the environmental protection and even the voice of the trade unions. At the national level, 151 technical committees, dealing with standardization sectors considered of interest to the market, operate under the coordination of ASRO, in which more than 1500 representatives from about 675 organizations are active. These are involved both at national and European and/or international level. Technical committees at ISO, IEC or CEN-CENELEC level have mirror committees at the national level, as far as the national stakeholders show interest in the scope of the respective technical committees. For example, one of the most recent national technical committees that were established and are relevant for the energy domain is Hydrogen in energy systems. There are also committees with tradition, such as – Constructions, Natural gas and gas analysis, Materials, equipment and structures for the oil and natural gas industry. Thus, ASRO makes available for all stakeholders a platform which is open to those who are interested in influencing the contents of the standards and to participate actively in the national, European and international standardization activity. Benefits of Standardization Standards are voluntary instruments. However, a company manufacturing products and/or supplying services which fails to comply with the standards will never be competitive enough, and this will be a huge disadvantage as the market will apply its selection rules. Standards contribute to the environmental protection, and to the people’s health & safety. They offer, for example, measuring methods for monitoring and controlling air pollution. The standards in the food hygiene domain provide methods for the classification and testing of the materials that come in contact with food. The standardization of the quality and safety of the products helps companies win the trust of the consumers. For example, tools and equipment designed and tested according to the standards offer a better protection to professionals. Another benefit of standardization is the improvement of the access to the markets: standards facilitate the access to new markets, thus making the products or services compatible and comparable. And, last but not least, standards contribute to the improvement of the interoperability between products and services. We may say that standards are those invisible elements which, once implemented, make it easy to understand the complex mechanisms, integrate systems, facilitates the relation with the legislation and regulations, and set up bridges with the end consumer. Access to the Standards Companies at the national level ensure that they have access to the standards needed to carry out their activities, either for production, testing and laboratory tests or for management systems, quality assurance of the products and services they provide to their customers, etc. ASRO provides, through sale, customized collections for each activity domain: from standards for the food industry, standards for energy, oil, gas, fuels, textiles, construction, over 32,000 documents, in whole. It also offers a set of minimum standards required for any company, which is key to the success on the market by implementing quality,

Standards affect every area of our lives. The food we eat, cars we drive, clothes we wear, toys children play with, and technology we use all conform to particular standards, often agreed internationally.

In 2008, OMV Petrom entered a joint venture with ExxonMobil for the exploration of the Neptun Block in the deep-water sector of the Black Sea. The block covers an area of approximately 7,500 square kilometres in water depths ranging from 100-1,700 meters. According to OMV Petrom, over 1.5 billion USD were invested between 2008 and 2016 in exploration and appraisal activities in the Neptun Deep block. The exploration included two 3D acquisition campaigns and two exploration drilling campaigns, with eight exploration and appraisal wells drilled, the company website says. In 2012, Domino-1, the first deep-water exploration well in Romania, confirmed the existence of a natural gas reservoir. In January 2016, the second exploration drilling campaign in the Romanian deep-water sector of the Black Sea was successfully completed, with seven wells drilled, the majority of them having found gas. In 2017, extensive engineering activities took place in preparation for the potential final investment decision, the company said. Since then, OMV Petrom’s position is that it continues to evaluate the technical and commercial viability of the project. The energy crisis prompted by the war in Ukraine has led to a reappraisal of the energy transition, with natural gas now included under the EU taxonomy rules. However, in the absence of economic carbon capture solutions, gas is expected to be virtually phased out by 2050. It looks like the final investment decision on the Neptun Deep project could not be delayed any more. Key challenges of the Neptun Deep projectThe Black Sea offshore gas resources offer a huge opportunity for Romania to decrease its energy dependency, to bring additional budget revenues, and to create jobs. There are challenges, mainly of technical nature given Neptun status as practically the first deep-water project in the Romanian Black Sea. There are also external political challenges, with the conflict in Ukraine looking nowhere near its end, and the peril of ongoing instability and tensions in the Ukrainian waters dragging on for years. Key challenges of the Neptun Deep project There were also internal political obstacles that Romania finally managed to overcome in 2022. The significant amendments to the current Offshore Law were passed in May 2022. They show Romania as an attractive country to investors, ready to offer long-awaited predictability and stability to holders of deep offshore and onshore petroleum agreements, regarding the royalty regime and the specific tax regime. Now the Offshore Law encourages the purchase of goods and services from the European area and from countries which have concluded bilateral/ multilateral trade agreements with the European Union. It also offers the possibility to sell freely the hydrocarbons extracted, as a general rule and under normal conditions. At the same time, domestic consumers will be protected under exceptional terms. The changes to law were made in view of a fair sharing of possible windfall gains between the investor and the Romanian state, while allowing the full recovery of the investment in the upstream segment from the value of the additional tax. Speaking in Vienna in April 2022 Alfred Stern, the OMV CEO and Chairman of the Supervisory Board of OMV Petrom, said Neptun Deep was expected to require investments of about €2 billion, and OMV and Romgaz would be able to agree upon the final investment decision on the project within a year. The development is expected to enter into commercial production four years after that. In August 2022, Romanian gas producer Romgaz announced it completed the acquisition of Exxon Mobil’s 50% stake in the Black Sea offshore project Neptun Deep for 1 billion EUR. Another Romanian company, TRANSGAZ, the technical operator of the National Gas Transmission System, plans to invest approximately 350 million EUR in the Tuzla – Podisor gas pipeline. Its total length will amount to 308.32 km, from the Black Sea shore to Podișor, in Giurgiu County, with construction works expected to start after OMV Petrom FID (Final Investment Decision). This significant project will greatly benefit local contractors, suppliers, and constructors. On November 21, 2022, a delegation of OMV Petrom, led by Mr. Stern, paid a rather surprising visit to President Klaus Iohannis in Bucharest. On that occasion the Romanian president requested the OMV management made the final investment decision and started the offshore exploitation within the perimeter as soon as possible, “considering that the Offshore Law in force at this moment is favourable.” The statement could be interpreted in the sense that OMV should expect no more amendments to the Offshore Law or relevant paragraphs of the Romanian Fiscal Code. In its turn, the OMV management presented the status of the project and the key steps taken and promised to adopt the final investment decision in mid-2023, so that the exploitation of natural gas from the Neptun Deep perimeter may start “as soon as possible.” Natural gas reserves in the Black Sea are estimated at more than 200 billion cubic metres, and a Deloitte study shows that exploitation will bring in about $26 billion by 2040 from corporate taxes, royalties, social contributions, and other taxes. In addition, it would generate more than $71 billion to Romania’s GDP and create or maintain more than 30,000 jobs. If that is not enough and now not the moment, then when?! It is high time we said game on for Neptun Deep! arksoccer.netclick over here now

We are going through complicated times, probably unique in the last 30 years and since the apparition of the current public procurement concept in Romania. According to Petroleum Club of Romania (PCoR), consultation with potential tenderers, provided by the law (Law No. 208/11.07.2022, updating Law No. 98/2016), is missing. “Before initiating the award procedure, the contracting authority has the right to organize market consultation in order to prepare the procurement, by reference to the object of the public procurement contract, and to inform economic operators on procurement plans and the requirements envisaged in relation to them, making this known through SEAP, as well as by any other means”. Therefore, within consultation, formulas, indices etc. to adjust prices, the validity of the tenders, technical specifications could be agreed upon. There were big projects, in which this was realized at least partially, eliminating part of the errors/exaggerations. In most cases however, consultation does not take place, and this leads to unattractive documentations, risky for the tenderers. The risk is for the one who does not carefully read the documentation or the one who assumes disproportionate risks to win. But the goal is to realize the project within the budget, under the terms provided in the documentation! “Unfortunately, the notion of partnership with the tenderers (in the correct sense, not pejoratively) is lacking from the practice of many contracting authorities or entities. The understanding that the parties are in a partnership for the successful implementation of the project would help a lot the procurement process. Several entities or authorities treat the process from positions of strength, which is deeply harmful,” PCoR representatives emphasize. Another negative aspect reported by PCoR is related to the existence in the market of requests to guarantee prices for very long periods, in conditions in which market volatility is extreme. Therefore, there are cases where producers guarantee a fixed price for a period between one day and one week – maximum one month, and customers request guarantee periods of at least six months or one year. This most often leads to losses at the contractor, decapitalization, or the impossibility to deliver. This leads to blockages, endless discussions, lower quality or even worse bankrupt companies, all these having as consequences blockages in project completion, loss of financing sources etc. Also, the inflexibility in accepting solutions to renegotiate the contracts, based on market realities – international quotations, exchange prices etc. has a negative impact on producers’ activity.