The Government of Guyana has signed a Petroleum Prospecting License and Production Sharing Agreement with the joint venture team of Tullow Oil and Eco Atlantic for a small concession of 1801sq. km, called the Orinduik Block, located offshore Guyana.
In total, the license term of the exploration period is for 10 years. The decision to drill and to complete the first exploration well must occur within the first renewal period in years five and six.
The block is located in the Suriname Guyana basin in shallow waters and is located close to ExxonMobil’s recently announced “Liza” discovery.
ExxonMobil announced in May 2015 that the Exxon Discovery well encountered more than 90 meters of high-quality oil-bearing sandstone reservoirs.
Tullow is already involved in an offshore project in Guyana as it is a part of a joint venture with Repsol Exploracion Guyana Inc. in the adjacent Kanuku Block. Repsol last week asked the government to allow it more time to continue exploratory work in the Kanuku offshore block.