ExxonMobil to join gas exploration project in the Greek Sea

ExxonMobil, a U.S. oil company, has signed an agreement with Energean Energy and Helleniq Energy for the exploration of natural gas off Greece's coast. The companies announced this on Thursday.

ExxonMobil's global exploration head, John Ardill, said that if everything goes according to plan, it expects the first gas to be produced from Block 2 in western Greece by the early 2030s.

He said that the Exxon project would require between $50 and $100 million in investment. Exxon will own 60% of the project, and become operator in case test drilling is successful.

The deal increases U.S. offshore interest. Last month, Greece named a consortium consisting of U.S. major oil company Chevron and Helleniq Energy the preferred bidder to explore other blocks.

Greece is a small producer of oil, and it relies heavily on gas imports to power its domestic grid and meet its energy needs.

The European Union is looking to reduce its Russian gas imports over the next few years. It's been eager to explore for new gas and strengthen its role as transit route.

(source: Reuters)