Shortly before the most critical phase of hydrocarbon exploration in the country begins, with the first drilling in Block 2 in the Ionian Sea after roughly four decades imminent, Chevron is further strengthening its position in Greece.

The American “big oil” company is expected by the end of the month to complete the transfer of a 70% stake in offshore block “Block 10”, located off the Kyparissia Gulf, while also taking over as operator of the concession, as all required approvals from the Greek authorities have been completed.

Chevron’s entry into Block 10 is accompanied by the approval of a 15-month extension of the second exploration phase, pushing decisions on moving to the third phase— which includes exploratory drilling— to early 2028.

Block 10 is among the most mature concessions in Greece’s hydrocarbons portfolio. Geological and environmental studies have already been completed in the area, while in 2022, 1,210 km of 2D seismic data were acquired and later 2,416 sq km of 3D seismic data, covering 88% of the concession, significantly reducing geological uncertainty in the region.

Behind the deal and contacts with the Ministry of Environment and Energy
Behind the agreement lies a process completed in less than 20 days, from the submission of the official request by the two companies on May 28 to the completion of all required approvals by the Ministry of Environment and Energy, the Hellenic Hydrocarbons and Energy Resources Management Company (HEREMA), and the Ministry of Foreign Affairs under the foreign direct investment (FDI) screening process. It is one of the fastest administrative procedures recorded in Greece’s hydrocarbon exploration program.

Chevron executives were at the Ministry of Environment and Energy yesterday to finalize the planning and the last pending issues of the agreement, just days after a meeting held last week at the company’s headquarters between the Minister of Environment and Energy, Stavros Papastavrou, and Chevron’s Vice President for Exploration, Kevin McLachlan, along with company executives.

Discussions focused on Chevron’s growing interest in Greece’s hydrocarbon sector and the next steps for seismic surveys in the four concessions south of Crete and south of the Peloponnese.

The unified exploration front with A2
With the completion of the transaction, Chevron will hold 70% of Block 10 and HELLENiQ ENERGY the remaining 30%. As HELLENiQ ENERGY CEO Andreas Siamisiis stated, Chevron’s entry into Block 10 “completes our existing cooperation and aligns the shares of the two companies across all blocks in the southern Ionian, thus forming a much larger exploration area where we participate jointly.” He noted that portfolio consolidation and operations across larger areas attract top-tier companies and enable synergies, initially in exploration and potentially later in development. This practically means economies of scale in evaluating geological data and planning surveys, and, if discoveries are made, even shared infrastructure development.

Months of discussions
Market sources say the maturity of Block 10 and its geological continuity with neighboring A2 were key factors in Chevron’s strategy for the southern Ionian. The joint concession of A2 and two new blocks south of the Peloponnese and Crete in the Chevron–HELLENiQ ENERGY joint venture accelerated discussions on expanding cooperation and paved the way for Chevron’s farm-in into Block 10, a plan that had been under development for months.

The Kyparissia Gulf, covering about 2,400 sq km, borders the A2 block to the south and, together with the “South of the Peloponnese” concession, forms a unified exploration zone of roughly 14,200 sq km. According to sources, joint management of these areas allows companies to assess geological data on a regional scale, design seismic operations more efficiently, and prioritize future drilling targets more flexibly.

Block 10 is now the fifth offshore concession in which the Chevron–HELLENiQ ENERGY joint venture is active in Greece, further expanding Chevron’s footprint in the Eastern Mediterranean and confirming that the country remains on the investment radar of one of the world’s largest energy groups.