Gas monetisation
Developing a significant gas asset
Project III, Block’s flagship venture in Georgia, seeks to unlock the material undeveloped gas resource located in the Lower Eocene and Upper Cretaceous reservoirs spanning the company’s XIB and XIF licences.
With internal estimates indicating Total 2C Contingent Resources of 2.77 TCF, a further 574 BCF of 2U Prospective Resources, and an NPV10 of US$2.2bn, Project III has been declared a strategic gas resource by the Georgian state.
In April 2026 Block executed a binding framework agreement for the farm-out of Project III with leading Chinese chemical company Zhijiang Sanning Energy Co. Ltd (“Sanning”), for up to US$75m through appraisal drilling and early facilities construction.
Sanning has committed US$13m to appraising the Project’s Patardzueli – Samgori field, for which internal estimates indicate 1,074 BCF 2C Contingent Resources.
Highlights
Project III is Block’s flagship gas project in Georgia, targeting resources across the Lower Eocene and Upper Cretaceous reservoirs within the XIB and XIF licences.
2.77 TCF
Total 2C Contingent Resources
US$2.2bn
2C NPV¹⁰
up to US$75m
Farm-out Carry by Sanning
20 MMCF/d
Initial Production Target
A transformative agreement
The framework agreement with Sanning is potentially transformational for the development of the project and realisation of value for Block’s shareholders and other stakeholders.
Under the terms of the agreement, Sanning will acquire 51% of Project III, with Block holding 49% and retaining operatorship throughout the appraisal programme, designed to advance 1,074 BCF 2C Contingent Resources to Reserves, within Patardzueli-Samgori.
The programme targets initial production of 20 MMCF/d (around 3,300 boepd) in the 2C case, which will be monetised through the rapid construction of an early gas processing facility and associated intra-field and sales gas pipelines.
Sanning is one of China’s leading privately held chemical groups, producing 11.5 million tonnes of chemical products in 2025, generating revenues of more than US$2.8bn.
Rustavi, Teleti, Patardzeuli-Samgori and South Dome Lower Eocene reservoirs proximate to international pipelines
Other projects
Gabon
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Project I
Project I combines established production, development potential, and innovative drilling techniques to generate cash flow, support future growth, and maximise value across the wider portfolio
Project II
Project II is focused on realising the substantial potential of the Patardzeuli-Samgori field, leveraging a large contingent resource base, proven production history, and attractive development opportunities
Project IV
Project IV targets significant exploration upside across multiple licences, supported by a strategic farm-out partnership and a fully funded programme designed to unlock substantial resource potential
Carbon Capture and Storage
Our CCS initiative has the potential to establish a major CO₂ storage hub in Georgia, supporting industrial decarbonisation and contributing to long-term net-zero objectives