Potiguar Basin, Brazil oil and gas

Some companies are showing interest in the Potiguar Basin as Petrobras looks to sell some onshore blocks in the basin.

OTC, Guyana oil and gas, Suriname oil and gas, ExxonMobil

The promise of big discoveries offshore South America set to continue for years to come.

Petrobras debt, Petrobras asset sales

Despite the amount of money generated by sales so far, the company’s current financial situation still worries investors.

Brazil oil and gas, Brazil oil auction, Campos Basin oil, ExxonMobil, Petrobras, Statoil

The 15th bidding round on March 29 raised more than 8 billion reais (US$2.42 billion) in signature bonuses.

The Brazilian government could launch a mega-auction in June, but it needs to resolve issues regarding valuation of reserves first.

Land & Leasing

Argentina, which is still defining the areas to be included in its auction, expected to receive bids in late November and is giving incentives for oil companies currently exploring at its large Vaca Muerta shale play to move from pilot to full development phase.

A subsidiary of the New York-based E&P reached an agreement with an ExxonMobil affiliate to acquire a 15% participating interest in offshore Guyana's Kaieteur Block.

The bids had been scheduled to be received April 5. The change, announced by the National Hydrocarbons Agency (ANH) late on April 4, marks the fifth time the auction for the 15 crude and gas areas in the country’s northwest has been rescheduled.

ExxonMobil along with Petrobras and Qatar Petroleum shelled out 2.8 billion reais (US$844 million) for a block in Brazil’s offshore Campos Basin.

Oil Secretary Marcio Felix said the government would seek to undo the decision, without providing details. But he said success was unlikely before the round on March 29, which will grant companies concessions to explore and produce in the areas.

Reservoir Evaluation

GeoPark Ltd. (NYSE: GPRK) has confirmed the successful drilling and testing of the Tigana Norte 4 appraisal well in the Tigana oil field in Llanos 34 Block in Colombia.

GeoPark Ltd.’s Tigana Norte 3 appraisal well has confirmed the Tigana/Jacana oil field’s extension toward the northeastern limits of Colombia’s Llanos 34 Block.

Anadarko, the operator, said the well hit 79 m to 110 m (260 ft to 360 ft) net of natural gas pay.

A test conducted with an electric submersible pump in the Guadalupe Formation across multiple sand units resulted in a production rate of about 1,800 barrels of oil per day (bbl/d) of 16 degrees API, with a 17% water cut through a choke of 38/64 mm and wellhead pressure of 80 pounds per square inch, the company said.

GeoPark said the well was drilled 780 m north of the Jacana 3 appraisal well further down dip to a bottom-hole location below the previous lowest-known oil, where it hit oil in the Guadalupe Formation.

Wildcats & Stepouts

ExxonMobil encountered about 20 m (65 ft) of high-quality, oil-bearing sandstone reservoir. The well was safely drilled to 5,597 m (18,363 ft) depth in 2,067 m (6,781 ft) of water. Drilling commenced Jan. 29.

ExxonMobil affiliate Esso Exploration and Production Guyana Ltd. began drilling the Ranger-1 well on Nov. 5, 2017, and encountered about 70 m (230 ft) of high-quality, oil-bearing carbonate reservoir.

A production test conducted with an electric submersible pump in the Guadalupe Formation resulted in a production rate of about 1,700 barrels of oil per day.

Located about 115 km (71 miles) offshore Brazil’s Rio de Janiero state, the Poraquê Alto well was drilled to a final depth of 4,568 m (14,987 ft) with a water depth of 1,107 m (3,632 ft), Petrobras said in a news release.

Drilled to a total depth of 1,676 m (5,500 ft), the Rio Grande Oeste 1 exploration well identified 15 potential reservoir sands with a potential net pay of 122 m (400 ft), GeoPark said in an Aug. 10 news release.