Hess Corp. on Tuesday said it made another oil discovery off the coast of Guyana.
The New York oil and gas company struck oil at its Redtail-1 well, marking the company’s 18th discovery on the Stabroek Block that is expected to contain more than 8 billion barrels of oil and natural gas. Hess said it found 232 feet of oil-bearing sandstone under 6,164 feet of water.
In addition, Hess said it found more oil adjacent to its Yellowtail-1 discovery in a well called Yellowtail-2.
“The Redtail-1 and Yellowtail-2 discoveries further demonstrate the significant exploration potential of the Stabroek Block and will add to the recoverable resource estimate of more than 8 billion barrels of oil equivalent,” CEO John Hess said in a statement.
Hess is drilling in the Stabroek Block, which spans 6.6 million acres off of South America. Hess Guyana Exploration holds a 30 percent interest; Exxon Mobil affiliate Esso Exploration and Production Guyana Limited holds 45 percent interest;and CNOOC Petroleum Guyana Limited, a wholly-owned subsidiary fo CNOOC Limited, holds a 25 percent interest in the block.
Oil majors are increasingly developing oil fields off the coast of South America, because they believe they can turn a profit at lower oil prices. Hess, Exxon, Chevron, Total and Apache are some of the companies active in Guyana and nearby Suriname.
Source: MRT
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