Spanish
Santo Domingo.- The Dominican Government, through the Ministry of Energy and Mines (MEM), signed a shared production contract with the Dominican-American consortium Global Min for the exploration and eventual production of hydrocarbons in the Cibao basin, a "strategic step" towards diversification and energy security of the country.
The contract was awarded through the First Oil Round, in a competitive and legal process, with pending approval from the National Congress, the MEM said in a statement.
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This concerns concessions to carry out operations in blocks CB1 and CB2, located in the provinces of Montecristi, Dajabón, Valverde, Puerto Plata and Santiago, considered to have high potential in liquid and gaseous hydrocarbons. The official explained that, in terms of benefits, the State will receive a minimum share of 43% of the total oil revenue, along with the generation of direct and indirect jobs, technical training programs for young people, and community development actions. The contract was signed by the Minister of Energy and Mines, Joel Santos, and the representative of the consortium, Félix Manuel Santana Reyes, and establishes a concession for 11 years for the exploration and exploitation phases of both blocks. In addition, the contractor will assume all risks, costs, and investments inherent in the operations, providing the technology, equipment, and capital necessary for the execution of the exploration and production phases. This ensures that the Dominican State does not compromise fiscal resources, while ensuring the implementation of modern and efficient practices in the development of the awarded blocks, the information added. Santos expressed optimism with this new project, because it represents a "historic" opportunity to confirm the country's energy potential and lay the foundations for greater energy independence and security. He also specified that the contract includes strict environmental protection and industrial safety provisions, ensuring that activities are carried out under international sustainability standards. "Respect for the environment and sustainable development are fundamental pillars of our policy. The Global Min consortium will assume this commitment at every stage of the project," added Santos. Santana Reyes, for his part, highlighted the trust placed in the business group by the Government. "Land exploration is an expensive process that takes years of diligent work to 'map' potential resources and identify recoverable hydrocarbons in economic terms. We are pleased to be able to partner with the Dominican Republic and appreciate the trust placed in us to help the country manage the development of its energy potential," he said. Global Min is an international consortium made up of the Dominican company Global Min and the American company Lumina Geophysical, with a presence in Latin America and the Caribbean.
