Hess increases ownership in Kaieteur block, offshore Guyana
Hess Corp. increased its working interest in Kaieteur block, offshore Guyana, to 20% from 15%. The increase occurred on the back of the Tanager-1 oil discovery, and via the farm-down of a 5% working interest by Cataleya Energy Ltd. to Hess.
Tanager-1, the first well drilled on the Kaieteur block, encountered 16 m net oil pay (20° API oil) in high-quality sandstone reservoirs of Maastrichtian age and confirmed the extension of the Cretaceous petroleum system and Liza play fairway outboard from prolific discoveries on the nearby ExxonMobil-operated Stabroek block. The discovery is currently considered to be non-commercial as a standalone development.
High quality reservoirs were also encountered in Tanager-1 at the deeper Santonian and Turonian intervals though interpretation of the reservoir fluids was reported to be equivocal and require further analysis.
Post-well analysis indicates the Tanager-1 Maastrichtian discovery contains best estimate unrisked gross 2C contingent oil resource of 65.3 million bbl (17.7-131 million bbl low to high range) with a best estimate unrisked net 2C contingent oil resource attributable to the Kaieteur Block of 42.7 million bbl (11.3-86 million bbl low to high range).
In addition to the Tanager-1 oil discovery, a substantial Cretaceous prospect inventory has been mapped across the 5,750-sq km 3D seismic survey in the southern part of the block, where the Kaieteur JV partners are currently high grading the next potential drilling targets.
After farm down, Esso Exploration and Production Guyana Ltd. remains operator of the Kaieteur JV (35%) with partners Ratio Guyana Ltd. (25%), Cataleya Energy Ltd. (20%), and Hess Guyana (Block B) Exploration Ltd. (20%).
