Suriname

APA Corp. Reveals Exploration Results

APA Corp. reported a mixed bag of results from two exploration wells offshore Suriname where the Houston-based company and its foreign partners are looking to replicate the success seen across the maritime border in Guyana.

Pietro Pitts
Hart Energy

Tue, 08/23/2022 – 01:00 PM

APA Corp. Reveals Mixed Bag of Exploration Results Offshore Suriname

APA Corp. revealed both a successful find offshore Suriname at its Baja-1 well in Block 53 and a dry hole at the Dikkop well in Block 58.

With evaluation of openhole well logs, cores and reservoir fluids ongoing at Baja-1, “all of which will have us looking for APA’s commentary on future capital allocation within Suriname across the blocks given the regulatory approval the company has received regarding the PSC terms and options to extend the exploration period by up to four years,” Tudor, Pickering, Holt & Co. analyst Jeoffrey Lambujon wrote Aug. 23 in a note to clients.

Houston-based APA and its partners offshore Suriname continue to push forward exploration activities with aim on replicating the success seen across the maritime border in Guyana. Offshore Guyana an Exxon Mobil Corp.-led consortium that includes Hess Corp. and CNOOC has reported over 30 discoveries in Guyana’s prolific Stabroek Block where the current estimate of the recoverable resource base is approximately 11 billion barrels of oil equivalent.

Offshore Suriname, APA and France’s TotalEnergies SE have announced five discoveries in Block 58. TotalEnergies is the operator of Block 58 with a 50% working interest while APA holds the remaining 50%.

Despite the discoveries in Block 58 the pair have yet to announce a final investment decision (FID) for an initial development in the block. Analysts covering the companies, in particular, and Suriname, in general, continue to await an FID decision regarding Block 58, which many forecasted last year would happen sometime in 2022.

Media officials with APA and TotalEnergies didn’t immediately reply to email requests from Hart Energy about the status of a potential FID in Block 58.

Baja-1 Success
In Block 53, APA’s Baja-1 well was drilled to a depth of 17,356 ft (5,290 m) and encountered 112 ft (34 m) of net oil pay in a single interval within the Campanian. Preliminary fluid and log analysis suggest light oil with “a gas-oil ratio (GOR) of 1,600 to 2,200 standard cubic feet per barrel, in good quality reservoir,” APA announced Aug. 23 in a press statement.

Baja-1 was drilled using the Noble Gerry de Souza drillship in water depths of approximately 3,740 ft (1,140 m). The well is a downdip lobe of the same depositional system as the Krabdagu discovery, 11.5 km to the west in Block 58, APA said.

“Our success at Baja marks the 6th oil discovery we have participated in offshore Suriname, and the first on Block 53,” APA CEO and president John J. Christmann said. “This result confirms our geologic model for the Campanian in the area and helps to de-risk other prospects in the southern portion of both Blocks 53 and 58.”

APA operates Block 53 and holds a 45% working interest in the block. The U.S.-based company is partnered in Block 53 with Malaysia’s Petronas (30% working interest) and Spain’s CEPSA (25% working interest), which boosts shareholders Mubadala Investment Co. Group and The Carlyle Group.

APA also revealed that it recently received regulatory approval related to an amendment to the Block 53 production-sharing contract (PSC), which provides options to extend the exploration period of the PSC by up to four years. APA “is currently progressing the formalization of the election of the first one-year extension, for which all work commitments are complete,” the company said.

The Noble Gerry de Souza will mobilize to Block 58 after completion of operations at Baja-1. Once on location in Block 58 the drillship will drill the Awari exploration prospect located approximately 27 km (north) of the Maka Central discovery.

Dikkop Dry Hole
APA also revealed that it had concluded operations offshore Suriname in Block 58 at the Dikkop exploration well, but with less than desired results. Dikkop “encountered water-bearing sandstones in the targeted interval and has been plugged and abandoned,” APA said.

TotalEnergies operates Block 58 with a 50% working interest, while APA holds the remaining 50%. The Maersk Valiant drillship, used to drill Dikkop will move next to the Sapakara Field to drill a second appraisal well at Sapakara South, where the joint venture conducted a successful flow test late last year.

Pietro Donatello Pitts is a senior energy reporter for Hart Energy. He covers Latin America and the Caribbean as well as regions from North America to Europe, Africa and Asia. He covers topics spanning from the upstream, midstream and downstream sectors to the energy transition and geopolitical events impacting the global energy sector.

Maersk Drilling awarded one-well extension for drillship with TotalEnergies

Sept. 22, 2022

TotalEnergies E&P Suriname has exercised an option to add the drilling of one additional well in Block 58 offshore Suriname to the work scope of the Maersk Valiant drillship.

The 100-day extension should take effect in January 2023, in direct continuation of the rig’s current work scope, with an estimated value of about $24.7 million. This includes provision of integrated services use of managed pressure drilling.

Maersk Valiant is a high-specification seventh-generation drillship with integrated managed pressure drilling capability, which was delivered in 2013. It is operating for TotalEnergies offshore Suriname.

09.22.2022

Petronas hails Suriname oil discovery

Operator Apache working to firm up potential of resource

UPDATED 14 September 2022

By Amanda Battersby in London

US operator Apache has discovered light oil with its Baja-1 wildcat in deep-water Block 53 offshore Suriname and is working to firm up the potential of the resource.  The US independent and partners Petronas of Malaysia and Spain’s Cepsa drilled the Baja-1 exploration well to a total depth of 5290 metres from a water depth of 1140 metres.

Light oil was encountered in the Campanian-age sedimentary sequence and post-drill evaluation is ongoing to firm up the potential of the discovered resource.

“The discovery at Baja-1 well is an important milestone for Petronas in unlocking deep-water hydrocarbon resource from our exploration ventures,” said Petronas exploration vice president Mohd Redhani Abdul Rahman.

“We are encouraged by this achievement and will remain focused on growing our international portfolio, especially in the Americas.

“This achievement is a testament to the combined expertise and experience of all joint-venture partners, and we look forward to more exciting milestones as we progress further,” he said.

Drillship on the move
The discovery at Baja-1 is a down-dip lobe of the same depositional system as the Krabdagu discovery, 11.5 kilometres to the west in Block 58, APA noted.

After completing the Baja probe, Noble’s drillship will mobilise to Apache’s Block 58 to drill the Awari exploration prospect, about 27 kilometres north of the Maka Central discovery.

Apache Energy’sholding company APA has a 45% operated interest in the 867,000-acre Block 53 and its co-venturers are Petronas with 30% and Cepsa on 25%.

Petronas also has a 100% operated stake in Suriname’s Block 48 and is a in 50:50 joint venture with ExxonMobil for Block 52 in the prospective Suriname-Guyana basin. The first hydrocarbon discovery in Block 52 was made in 2020.

 

 

Caribbean Development Bank

Revolving Fund for Development Cooperation

PRESS RELEASE

September 20, 2022

50 million financing from CDP to combat climate change in Caribbean countries with CDB New York, 20 September 2022 – Countering the effects of climate change and supporting the sustainable development of the Caribbean countries: these are the objectives of the 50 million financing granted by Cassa Depositi e Prestiti (CDP), the Italian National Promotional Institution to the Caribbean Development Bank (CDB), a financial institution that helps Caribbean nations to finance social and economic programmes in member countries.

Earmarked through the Revolving Fund for Development Cooperation, managed by CDP on behalf of the Italian Ministry of the Economy and Finance as part of its International Cooperation and Development Finance activities, this financing will expand the pool of loans that CDB already makes available to its Borrowing Member Countries (BMCs) for official development assistance in countries such as Belize, Dominica, Grenada, Guyana, Jamaica, Saint Lucia, Saint Vincent and the Grenadines and Suriname.

The financing will help accelerate the implementation of programmes launched by the Caribbean countries aimed at achieving, by 2030, the sustainable development goals (SDGs) set out by the United Nations. The assistance will support projects related to the management of water resources, the production of energy from renewable sources, the creation of infrastructure for sustainable mobility and the protection of oceans, coasts and biodiversity.

The agreement was signed by the President of CDB, Dr. Hyginus “Gene” Leon, and the Director International Development Finance Officer at CDP, Antonella Baldino, at the premises of the Permanent Mission of Italy to the United Nations in New York.

Antonella Baldino, Chief International Development Finance Officer at CDP, commented: “Climate crisis is a global challenge that requires mutual cooperation and collaboration. To this end, we are honoured to join other relevant partners in support of Caribbean Countries’ efforts to reach their United Nations SDG commitments. A target in line with CDP’s 2022-2024 Strategic Plan, that aims to promote sustainable development and accelerate ecological transition at a global level.”

The President of CDB, Dr Hyginus “Gene” Leon, said: “The volume of financing needed by the Caribbean countries to achieve the Sustainable Development Goals will require broad support from a variety of sources, and CDB is committed to creating and strengthening partnerships that will make affordable financing available for our Borrowing Member Countries.”

Under the arrangements CDB has responsibility for approval and supervision of projects financed through the Programme. Projects will be implemented in compliance with CDB’s policies, procedures and fiduciary standards, as well as social, environmental, and gender safeguards.

The financing provided by the Cassa Depositi e Prestiti (CDP) Group to the Caribbean Development Bank (CDB) expands resources for the construction of sustainable infrastructure and the protection of the natural ecosystems of the Region.