There is a temporary price peak at the level of natural gas, but this could have been totally avoided if Romania had a reasonable and responsible development in the Black Sea, says Mark Beacom, CEO of Black Sea Oil & Gas (BSOG).

“When it comes to gas prices, it’s a matter of supply and demand. Certainly, prices are extremely high and it’s unlikely to be sustainable in the long run. I think we’ll realize that prices will go down soon, but Our Black Sea project for the offshore area is set to have a 20-year cycle, and cyclicality will have high prices and low prices. Our shareholders are extremely frustrated because we are so close to extracting this gas, but for various reasons (there are delays). There must be a total change in government packages and taxes must be removed from the Offshore Law. There are always hurdles in what we are trying to do. It is a discouraging element when it comes to investing in the development of natural gas in the Black Sea, which is not very common in other countries. I would like to exemplify with Turkey. There was a gas discovery last year and a decision was immediately taken, so as gas could begin to be already extracted in 2023. So the attitude is extremely proactive and to the benefit of all stakeholders involved. In the case of Romania, it is a choice: do we want to have a gas industry on the Black Sea to become a net exporter or do we want to remain an importer? I agree that there is a temporary price peak in natural gas, but this could have been completely avoided if we have had a reasonable and responsible development on the Black Sea offshore to try to find solutions to these difficult situations,” says Beacom, according to Agerpres.

According to him, there is currently a quantity of almost 140 billion cubic meters of natural gas on the Black Sea area, but the political interfaces and blockages undermine a normal course.