CGX optimistic about drilling in Guyana

…despite difficulties in 2015

Despite facing difficulties in 2015, CGX Energy Inc is very optimistic about exploration and development drilling in Guyana and is looking forward to a stronger 2016.
In a release, the Company explained that its business plan was significantly impacted by the prevalence of low international oil prices and a global downswing in exploration budgets.
Notwithstanding these difficulties, the company said it was successful in its ability to dramatically cut costs, deal with its significant payables and move towards monetising some of its non-core assets.
CGX Energy is a Canadian-based oil and gas exploration company focused on the exploration of oil in the Guyana-Suriname Basin.
The company is currently drilling in the Corentyne Block in Berbice.
Of all the companies operating in the country, CGX Energy is said to be the most exposed. The company’s entire portfolio is focused on Guyana, in both the onshore and offshore basins.
Onshore, the company holds a majority stake in the Berbice Block, through the ON Energy joint venture, owned 62.5 per cent by CGX Energy and 37.5 per cent by local investors.
However, exploration results on the block have been disappointing, with three dry holes drilled in 2005. Moving offshore, it has a 100 per cent stake in three offshore blocks, Corentyne, Corentyne Annex and Pomeroon.
In 2012, CGX participated in two offshore wells – the Eagle-1 well was drilled on the Corentyne Licence and the Jaguar-1 well was drilled on the Georgetown Licence. The Eagle-1 well had oil and gas, and the Jaguar-1 well sampled light oil in two zones. Both wells were abandoned. Eagle-1 as a dry hole and Jaguar-1 for safety concerns.