Eni Expands its Presence in Turkmenistan

Italian major Eni announced Tuesday that it and officials from Turkmenistan have signed an extension to the firm's production sharing agreement that covers the Nebit Dag area in the west of the country.

Eni CEO Claudio Descalzi signed the deal alongside Yagshygeldy Kakayev, director of Turkmenistan's state agency that oversees its hydrocarbon sector and Turkmenneft Chairman Tachdurdy Begdjanov. The agreement was signed in the presence of Turkmenistan President Gurbanguly Berdimuhamedov and Italian Prime Minister Matteo Renzi at Ashgabat, Turkmenistan.

The PSA has been extended to February 2032 while a 10-percent stake in the block has been transferred by operator Eni to Turkmenneft. Eni will retain a 90-percent interest in the PSA. The agreement will also enable further exploration and production investments in Burun and other satellite fields of the Nebit Dag block.

In a separate agreement, Eni and Turkmenistan signed a memorandum to explore the possibility of extending Eni's activities to Turkmenistan’s offshore sector of the Caspian Sea.