• 5 minutes 'No - Deal Brexit' vs 'Operation Fear' Globalist Pushback ... Impact to World Economies and Oil
  • 8 minutes China has *Already* Lost the Trade War. Meantime, the U.S. Might Sanction China’s Largest Oil Company
  • 12 minutes Will Uncle Sam Step Up and Cut Production
  • 9 mins OPEC will consider all options. What options do they have ?
  • 11 hours Danish Royal Palace ‘Surprised’ By Trump Canceling Trip
  • 14 hours Trump vs. Xi Trade Battle, Running Commentary from Conservative Tree House
  • 5 hours Not The Onion: Vivienne Westwood Says Greta Thunberg Should Run the World
  • 13 hours NATGAS, LNG, Technology, benefits etc , cleaner global energy fuel
  • 11 hours A legitimate Request: France Wants Progress In Ukraine Before Russia Returns To G7
  • 5 hours What to tell my students
  • 20 hours With Global Warming Greenland is Prime Real Estate
  • 1 day Recession Jitters Are Rising. Is There Reason To Worry?
  • 18 hours China Threatens to Withhold Rare Earth Metals
  • 1 day TRUMP'S FORMER 'CHRISTIAN LIAISON' SAYS DEEPWATER HORIZON DISASTER WAS GOD'S PUNISHMENT FOR OBAMA ISRAEL DIVISION
  • 1 day Maybe 8 to 10 "good" years left in oil industry * UAE model for Economic Deversification * Others spent oil billions on funding terrorism, wars, suppressing dissidents, building nukes * Too late now
  • 1 day CLIMATE PANIC! ELEVENTY!!! "250,000 people die a year due to the climate crisis"
Dave Forest

Dave Forest

Dave is Managing Geologist of the Pierce Points Daily E-Letter.

More Info

Premium Content

Oil Majors Converge On Uruguayan Offshore Play

I wrote yesterday about offshore natural gas exploration accelerating in Myanmar. And this week we got news that another major offshore exploration trend has struck again, this time in the fast-emerging destination of Uruguay.

Major European producer Statoil announced Monday that is has signed its second deal this month for exploration acreage in the Uruguayan offshore sector. With the E&P agreeing to take a 35% stake in Block 15 of the Pelotas Basin, held by junior developer Tullow Oil.

The farm-in is further confirmation of a trend in motion here. Coming just two weeks after Statoil announced it was taking a 15% interest in Uruguay’s Block 14 from owners Total and ExxonMobil. Related: The Decline Of The Coal Industry Is “Long-Term” And “Irreversible”

Statoil’s management said that the company’s aggressive moves in Uruguay are following a strategy of “access at scale”. Suggesting that the firm likes the fact it can get a big position here across a prospective basin.

Indeed, the Block 15 license builds nicely on Statoil’s existing acreage as it is located immediately adjacent to the Total/Exxon Block 14.

And those aren’t the only big players attracted by the potential here. With Statoil’s new Block 15 license also having Japanese major INPEX as a 30% interest holder. Related: Why OPEC Production Freeze Could Pave The Way For Actual Cuts

Interestingly, Statoil’s new Block 15 license hasn’t seen as much work as the Total/Exxon acreage. With operator Tullow planning to conduct a 3D seismic survey here as a next step.

Such work has already been completed at Block 14 — which is quickly advancing toward first drilling. This suggests that Statoil may have seen potential in its due diligence with Total for hydrocarbon traps extending onto the neighbouring Block 14 ground.

Whatever the case, a wide variety of oil and gas groups are seeing something they like here. Watch for more deals being done in this space — and for announcements from Tullow Oil on results from upcoming seismic work on the Block 15 area.

Here’s to getting a big position

By Dave Forest

More Top Reads From Oilprice.com:




Download The Free Oilprice App Today

Back to homepage


Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play