Eco Atlantic ups size of 3D survey offshore Guyana; Eyes drilling in 2018

Eco (Atlantic) Oil & Gas and with its Operating Partner, Tullow Oil, has approved a circa 2,550 km2 seismic survey on the Orinduik Block offshore Guyana.

Eco Atlantic on Thursday (June 08, 2017), noted that the survey is anticipated to commence in the next two weeks and will be completed by Schlumberger Guyana Inc. (Western Geco).

Eco Atlantic (Guyana) Inc, a subsidiary of Eco Atlantic, holds a 40% Working Interest in Orinduik, and Tullow, the Operator, holds the remaining 60%.

The Orinduik Block is located up dip and just a few kilometres from Exxon’s recent Liza and Payara discoveries confirming, by Exxon’s estimates, more than 1.5 Billion Barrels of recoverable oil.

According to the company, following the results of its evaluation of all existing and regional 2D data and the ongoing regional success, “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.”

As part of its agreement with Tullow, Tullow Oil will carry the Company’s share of the originally proposed 1,000 km2 of the survey, at a cap of US$1.25mm, with the balance of the program being funded by both parties on a pro-rata basis. The additional cost of the enhanced seismic program to Eco is well covered by existing cash resources.

Eco Atlantic’s Chief Operating Officer and co-founder, Colin Kinley, noted that the company is excited to embark on this venture which is substantially greater than the originally planned survey.

It is believed that in addition to de-risking the existing two defined targets, 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.

Eco Atlantic says its 2D interpretation has led to at least two significant reservoir leads on the Orinduik block that has led it to believe that the area “may hold significant oil comparable to the world class regional discoveries identified by Exxon.”

The company 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.