MINEX Forum

Tag: Croatia

  • Vermilion Energy and INA Announce Four Commercial Discoveries in Croatia’s Pannonian Basin

    Vermilion Energy and INA Announce Four Commercial Discoveries in Croatia’s Pannonian Basin

    Vermilion Energy and its partner INA have reported four successful commercial discoveries from four exploration wells drilled in Block SA-07 during 2024, located in the Sava region of the Pannonian Basin, onshore Croatia. The wells, Zbjegiovaca-1 Istok, Meduric-1 Istok, Gojlo-1J, and Piljenice-1, have shown promising results, with flows of 300 barrels of oil per day (bopd) plus 256 thousand cubic feet of gas per day (mcfgpd), 4.5 million cubic feet of gas per day (mmcfgpd), and 5.6 mmcfgpd, respectively. The Piljenice-1 well is currently under testing, with early indications pointing to a deeper and potentially more significant gas column.

    The success of these discoveries is attributed to the application of modern 3D seismic technology, which identified Direct Hydrocarbon Indicators (DHIs) across multiple Middle Miocene to Pliocene reservoir targets. These reservoirs are located at modest depths in a structured basin with low risk for hydrocarbon source and migration. The traps vary from structural drapes over basement highs to stratigraphic pinch-outs and confined channel sandstones, with additional potential in Mesozoic to Palaeozoic basement traps.

    Vermilion was awarded Block SA-07 in Croatia’s second onshore licensing round in 2019 as the operator with 100% equity. After acquiring 3D seismic data, the company farmed out 40% of its stake to INA, Croatia’s former state-owned company, in March 2024, just before drilling commenced. The discoveries are expected to be quickly integrated into existing infrastructure, following a similar pattern to Block SA-10, where Vermilion began gas production in 2024. This success highlights the potential of applying modern geoscience techniques to underinvested basins, turning exploration into commercial production efficiently.

  • Bjelovar City Completes Successful Geothermal Water Well Project

    Bjelovar City Completes Successful Geothermal Water Well Project

    Bjelovar city in Croatia has successfully concluded a 3.5 million euro ($3.8 million) geothermal water well project, surpassing initial expectations, as announced by the local government. The drilling initiative, which aimed to bolster electricity production from renewable sources, minimize CO2 emissions, and enhance energy security, received financial support totaling 1.3 million euros from Norway, Iceland, and Liechtenstein, with an additional 1.0 million euros from Croatia’s Ministry of Regional Development. Bjelovar city itself financed the remaining 1.2 million euros for the project. The geothermal water well, reaching a depth of 1,290 meters with a deposit temperature of 83 degrees Celsius, will serve multiple purposes, including district heating, agricultural activities, and potentially future swimming pools. Notably, the surface water temperature registers at 70.1 degrees Celsius, showcasing the project’s promising outcomes.

  • London-based Star Energy acquires geothermal exploration license in Croatia

    London-based Star Energy acquires geothermal exploration license in Croatia

    London-based Star Energy Group has successfully acquired a 51% stake in A14 Energy, the holder of a geothermal exploration license situated in the eastern Croatian region of Ernestinovo within the Pannonian Basin. The acquisition marks Star Energy’s foray into international geothermal energy investments.

    Formerly known as Igas Energy, Star Energy Group intends to construct a 10 MW geothermal power plant, a significant development in a country where only one such facility, Velika Ciglena, exists, having opened in November 2019.

    A14 Energy holds the Ernestinovo geothermal exploration license through its Croatian subsidiary, IGeoPen, in the highly promising Pannonian Basin of Croatia, and the acquisition was executed through Star Energy’s subsidiary, GT Energy Croatia.

    The purchase was completed for EUR 1.3 million in cash, with additional commitments of EUR 100,000 for cash-backed guarantees to the Croatian Hydrocarbon Agency and EUR 200,000 for ongoing expenses related to the assessment of the Ernestinovo license.

    Chris Hopkinson, CEO of Star Energy, expressed satisfaction with the company’s inaugural overseas geothermal investment, emphasizing the substantial opportunities in Croatia for advancing and diversifying their geothermal endeavors.

    The Ernestinovo exploration license spans an area of 76.6 square kilometers, featuring three deep exploration wells and 250 kilometers of 2D seismic data that have been reprocessed and interpreted.

    star energy croatia geothermal power ernestinovo

    The company envisions the construction of a 10 MW electricity generation plant (ORC) based on initial estimations of heat reserves and well productivity. Plans also include the development of four producing wells, two injecting wells, and connections to the Ernestinovo substation, which is linked to Zagreb, Hungary, Serbia, and Bosnia and Herzegovina via 400 kV transmission lines and equipped with stepdown transformers for 110 kV and 85 kV.

    Star Energy views this transaction as a pivotal step in its strategy to transition into a geothermal developer, owner, and operator, thereby mitigating regulatory risks and gaining entry into the electricity generation sector.

    Highlighting the importance of the geothermal sector in the broader context of the energy transition, the company emphasized its ability to offer long-term baseload electricity and heat generation.

    It is noteworthy that Croatia features six geothermal exploration areas spanning four counties: Međimurje, Koprivnica-Križevci, Podravina, and Osijek-Baranja.