Eco Atlantic Oil & Gas remains confident in Canje block’s potential despite well setback

0
13

Eco Atlantic Oil & Gas Ltd (LON:ECO, TSE:EOG) chief executive Gil Holzman remains confident in the Canje block, offshore Guyana, where Exxon is now lining up its next drill plans.


It comes as Exxon’s Jabillo-1 well exploration well was safely drilled down to its target depth of 6,475 meters without finding evidence of commercial hydrocarbons.


Eco was informed by JHI Associates Inc that project operator Exxon will now switch its attention to the Sapote-1 well, more than 100 kilometres away, to test the largest prospect to date on the Canje block. Spudding is expected in August, with results to follow by October.


Sapote-1 is located closer to Exxon’s Upper Cretaceous discoveries in the Stabroek block. It is described as an independent multi-layer prospect, which will evaluate several Upper Cretaceous targets.


Eco retains an indirect interest in the Canje block via its 6.4% shareholding in JHI Associates, which holds a 17.5% stake in the block – alongside Exxon with 35%, Total with 35% and Mid-Atlantic Oil & Gas Inc with 12.5%.


The Jabillo-1 well was drilled down to 6,475 meters. It was drilled in 2,903 meters of water by the Stena Carron drillship. It will be plugged and abandoned.


“While today’s update from JHI is disappointing, this is the nature of oil exploration,” said chief executive Gil Holzman. “Our stakeholders continue to support our exploration efforts and look for us to continue to define these near term high impact opportunities.”


“JHI was carried on the Jabillo-1 well and this is just the first in a series of exploration wells that Eco expects to be involved in this year and next.”


“I have a great confidence that our Canje Block exposure will yield great returns and oil discoveries as it also paves the way to a broader exposure and collaboration in the Guyana-Suriname Basin.”

LEAVE A REPLY

Please enter your comment!
Please enter your name here