Escalera International Co. LLC, a subsidiary of Escalera Resources Co. (formerly Double Eagle Petroleum Co.), has signed a memorandum of understanding with AOR Albanian Oil Rafinery SHA (AOR) to form a joint venture to identify and acquire oil and gas drilling opportunities along with related facilities and infrastructure in Albania.
The JV, to be headquartered in Tirana, Albania, will be owned equally by both parties and is subject to approval by both parties.
Northern Albania, which is part of the Balkans regions, is believed to have 2.7 tcf of natural gas reserves and 198 million bbl of oil according to a survey conducted by Gustavson Associates in 2008.
The JV is Escalera’s “first effort…to identify and acquire both upstream E&P and midstream facility and infrastructure assets outside of the US,” noted Escalera Chairman and Chief Executive Officer Charles F. Chambers.
Escalara reported its name change last month in a move the company described as part of its repositioning for future growth as it looks to expand beyond its traditional role of onshore, domestic natural gas (OGJ Online, Mar. 25, 2014).