Neptun Deep – the Biggest Romanian Investment in Energy

Black Sea gas means over 20 billion euros for Romania, says Sebastian Burduja

Corina Cristea, 11.04.2025, 13:00

“We are writing history. Against the obstacles and threats of those who would do anything to prevent Romania from becoming a provider of energy security for Europe. We promised not to stop and that is what we are doing: until the end, for an independent and strong Romania.” This is the message of the relevant minister, Sebastian Burduja, after, in March, drilling began in the Neptun Deep perimeter, 160 km from the coast.

Black Sea gas means over 20 billion euros for Romania, says Sebastian Burduja, but also “breaking the chains through which Russia kept Europe dependent on its gas”. For the development of this project, OMV Petrom – the largest integrated energy producer in South-Eastern Europe – and Romgaz – the largest producer and main supplier of natural gas in Romania, in which the main shareholder is the Romanian state, with a 70% stake – are investing together up to 4 billion euros. “These deep-sea Black Sea gas reserves were identified even before 1989. Subsequently, Romania entered a trajectory through which it tried to attract investors,” recalls Sebastian Burduja:

“There was a whole saga with the offshore gas law, after which the large American company involved in the project, Exxon, wanted to sell its stake. Romgaz committed to this acquisition and the Romanian state committed to enter the project, through this large Romanian company, which invested a billion dollars at the time, bought Exxon’s stake. And, together with OMV Petrom, a company where the Romanian state still has over 20% of the shares, it started the investment. In 2027, at the beginning of the year, if not even earlier, we will have the first molecules of Romanian gas from the Black Sea in the national transport system, which means two important things for Romania. The first is that a lot of money is coming to the budget, so, here, with an investment by the Romanian state of several billion euros, the profitability of this investment will be over 10 times higher, probably. Secondly, we are energy security providers for the entire region, we are doubling our gas production, we are already, practically, the first producer of gas from the EU, but in just a few years we will have double production, and we will be able to cover domestic consumption, revitalize the industry that consumes gas, for example the production of chemical fertilizers, but also have extra quantities to export for good money to other states in the region, which today can import from the Russian Federation.”

To what extent will the Neptun Deep field influence the European energy market? First of all, the gas from there will mean a lot to the Romanian market, says the founding director of the Romania Energy Center research and analysis group, Eugenia Gusilov:

“Basically, we will no longer be importers during the exploitation of this field. On the contrary, we may even have something left for export. This means that we can play a regional role. This means that we can help some of our neighbors, if not all of them. And the larger scheme, given that production in general in Europe is decreasing, and gas consumption tends to be reduced, puts us in a somewhat advantageous situation. In the sense that it extends the useful life, let’s say, of this gas and the duration of the energy transition, unlike other countries, where paradoxical things are happening.”

Estimates are that, once the production plateau is reached, Neptun Deep will contribute to Romania’s gas production with about 8 billion cubic meters annually. Here is Mihnea Cătuţi, research and development director of the Energy Policy Group:

“This field is quite important in the regional economy. This is because, in the Western Balkans, we are talking about a fairly strong influence of Russia, which can be combated by partially replacing the gas consumption in that region. I think that this should be the main goal for the gases that will be produced there, because we cannot base an entire industrial development around them, as we have been hearing lately. This is because at the moment the emphasis in Europe is on reducing gas consumption, because today, Europe imports about 90% of the gas it consumes. We have a similar situation in the production and consumption of crude oil. Therefore, the EU has a strategic vulnerability when it comes to hydrocarbon imports, and the production of 8-10 billion cubic meters per year from Neptun Deep does not radically change this picture. Europe consumes somewhere around 330-350 billion cubic meters per year cubic meters. For this reason, the price of gas could not be reduced much either.”

We should, says Mihnea Cătuţi, “look at the strategic and security usefulness at the regional level, and less imagine that we will reinvent large gas-consuming industries, given that these deposits do not promise to change Europe’s negative trade balance when it comes to natural gas.”