CGX spuds offshore well in Guyana after years of dispute
Thu Feb 9, 2012 4:20pm EST
Source
* Drilling delayed by territorial dispute in 2000
* CGX Energy may also start Eagle-1 well next week
GEORGETOWN, Feb 9 (Reuters) - Canada-based CGX Energy said on Thursday it had started drilling for oil off Guyana in the first offshore exploration in the country since a CGX rig was forced out of the area following a dispute with
neighboring Suriname.
CGX boss Stephen Hermeston said the Jaguar-1 well was drilled 107 miles (172 kms) off the Guyanese coast in the Georgetown Petroleum Prospecting License, which it shares with London-listed Tullow Oil, a division of Argentina's YPF, and Spain's Repsol.
"The spud of the Jaguar-1 well officially commences the long awaited resumption of offshore exploration drilling for the government and people of Guyana, the Georgetown Joint Venture Partners and CGX shareholders," he said in a statement.
The drilling will take about six months and aims to reach the Turonian geologic zone at a depth of 6,500 meters (21,300 feet). CGX Energy has a 25 percent stake in the Georgetown Petroleum Prospecting License. Tullow has 30 percent, as does YPF Guyana Ltd, and Repsol has a 15 percent interest.
In June 2000 a CGX oil rig was forced to leave the area after neighboring Suriname said it was operating in Suriname's territorial waters. A U.N. arbitration tribunal ruled in 2007 that the area belonged to Guyana.
CGX now has the Ocean Saratoga semi-submersible drilling rig offshore there and could begin drilling another well, Eagle-1, next week. Eagle-1 well is planned for CGX's 100 percent-owned and operated Corentyne Petroleum Prospecting License.
Guyana's natural resources minister, Robert Persaud, said the government was happy to see the drilling start. "We're cautiously optimistic that a positive result will see Guyana realize its petroleum potential," he said.
Venezuela, Guyana's much bigger neighbor to the west, has also quarrelled with Georgetown over its offshore waters.
Guyana asked the United Nations in September to extend its continental shelf toward an area where Venezuela has granted natural gas concessions to big companies.
Thu Feb 9, 2012 4:20pm EST
Source
* Drilling delayed by territorial dispute in 2000
* CGX Energy may also start Eagle-1 well next week
GEORGETOWN, Feb 9 (Reuters) - Canada-based CGX Energy said on Thursday it had started drilling for oil off Guyana in the first offshore exploration in the country since a CGX rig was forced out of the area following a dispute with
neighboring Suriname.
CGX boss Stephen Hermeston said the Jaguar-1 well was drilled 107 miles (172 kms) off the Guyanese coast in the Georgetown Petroleum Prospecting License, which it shares with London-listed Tullow Oil, a division of Argentina's YPF, and Spain's Repsol.
"The spud of the Jaguar-1 well officially commences the long awaited resumption of offshore exploration drilling for the government and people of Guyana, the Georgetown Joint Venture Partners and CGX shareholders," he said in a statement.
The drilling will take about six months and aims to reach the Turonian geologic zone at a depth of 6,500 meters (21,300 feet). CGX Energy has a 25 percent stake in the Georgetown Petroleum Prospecting License. Tullow has 30 percent, as does YPF Guyana Ltd, and Repsol has a 15 percent interest.
In June 2000 a CGX oil rig was forced to leave the area after neighboring Suriname said it was operating in Suriname's territorial waters. A U.N. arbitration tribunal ruled in 2007 that the area belonged to Guyana.
CGX now has the Ocean Saratoga semi-submersible drilling rig offshore there and could begin drilling another well, Eagle-1, next week. Eagle-1 well is planned for CGX's 100 percent-owned and operated Corentyne Petroleum Prospecting License.
Guyana's natural resources minister, Robert Persaud, said the government was happy to see the drilling start. "We're cautiously optimistic that a positive result will see Guyana realize its petroleum potential," he said.
Venezuela, Guyana's much bigger neighbor to the west, has also quarrelled with Georgetown over its offshore waters.
Guyana asked the United Nations in September to extend its continental shelf toward an area where Venezuela has granted natural gas concessions to big companies.
