Block Energy PLC (LON:BLOE) inked a deal with Baker Hughes to support drilling operations in Georgia.
The memorandum of understanding (MOU) sets up a partnership enabling progress for its significant oil and gas opportunities, Block said.
The MOU envisages a production-led, multi-well drilling programme. The first project will be a horizontal well at the WR-BA well target location in West Rustavi, where the company is targeting 2.1mln barrels of recoverable resources.
“I am looking forward to drilling our first well utilising our newly acquired 3-D seismic and the state-of-the-art directional drilling services and well assurance provided by Baker Hughes,” said chief executive Paul Haywood. “The added technical and operational expertise, never before used in Georgia, provides a step-change in our technical capability and will better enable the team to unlock the significant potential across our asset base.”
Preparations are presently underway for the WR-BA well and the company is expected to announce the spud of the well shortly.
At the same time, Block noted that Baker Hughes has also allocated additional engineers to assess and potentially develop geothermal, carbon capture, and hydrogen applications.
Haywood highlighted: “Baker Hughes's commitment to leading the energy transition and its deep breadth of technical, operational and digital capabilities are expected to help us better plan and execute energy projects.”
Tommy Kassem, Baker Hughes vice president of Oilfield Services, added: “Baker Hughes has extensive experience operating in the Caspian region and deploying advanced energy technology to help customers execute projects more efficiently and sustainably.
“We look forward to collaborating with Block Energy to support its goal to improve oil and gas production while accelerating our joint commitment to explore new energy frontiers like geothermal energy, accelerating the energy transition and path to net-zero emissions.”