Eco (Atlantic) Oil & Gas, in partner with Tullow Oil, which has a controlling stake in the Orinduik Block offshore Guyana, announced on Thursday their approval for a ‘2,550 km2’ 3D seismic survey in their Block, which is estimated to hold 900 million barrels of recoverable oil.
The Orinduik Block is located up dip and just a few kilometers from Exxon’s recent Liza and Payara discoveries confirming, by Exxon’s estimates, in excess of 1.5 Billion Barrels of recoverable oil.
The survey is expected to commence in the next two weeks and will be completed by Schlumberger Guyana Inc. (Western Geco) a joint statement from the companies outlined.
The partnering companies had already undertaken a 2D prospective exploration survey (including evaluating all existing and regional 2D data) of their Block and have since determined- based on their study and the success of Exxon- that “both parties have agreed to accelerate and significantly increase the originally proposed 1,000km2 3D survey commitment on the block to circa 2,550 kms2, thus covering the entire block area, fully overlapping current prospective 2D leads and downdip trends. “
According to the Colin Kinley, Chief Operating Officer and co-founder of Eco Atlantic “the 2D interpretation has led to at least two significant reservoir leads on the Orinduik block that both we and Tullow believe may hold significant oil comparable to the world class regional discoveries identified by Exxon. Eco Atlantic expects to confirm a number of drilling targets with this increased 3D Survey, ahead of drilling of the first well in Orinduik, hopefully in 2018.”
Eco Atlantic (Guyana) Inc, a subsidiary of Eco Atlantic, holds a 40 per cent Working Interest in Orinduik, and Tullow, the Operator, holds the remaining 60 per cent.
“We were keenly interested in this region of the Guyana-Suriname Basin even prior to Exxon’s highly successful drilling program, applying for the Orinduik block in 2014 because of its highly prospective Cretaceous canyon and fan plays” Kinley posited.
It was agreed that Tullow will carry the Company’s share of the originally proposed 1,000 km2 of the survey, at a cap of US$1.25M, with the balance of the program being funded by both parties on a pro-rata basis.
Eco Atlantic says it is excited “to see Exxon continue to successfully prove out the region in its ongoing drilling program and look forward to results from our own 3D survey, which is expected to come in the next couple of months…the survey will hopefully generate additional targets on the Orinduik Block, thereby increasing the prospective oil in place and adding leads for future work programs.”
Chief Executive Offcier of Eco Atlantic, Gil Holzman was quoted in online media reports saying that their company was approached several times by companies offering to buy its stake in the Orinduik block.
However, Eco Atlantic reportedly declined the offers. The company, it was reported, plans to push the launch of drilling at Orinduik forward to 2018, three years ahead of schedule, in case international oil prices stay where they are now.