ExxonMobil launches oil exploration at Lukanani-2 well

– 3 years after striking oil at Lukanani-1

Three years after its oil exploration success at the Lukanani-1 well in the Stabroek Block, where they encountered 115 feet of hydro-carbon bearing sandstone, ExxonMobil Guyana (EMGL) is further exploring for oil at the Lukanani-2 well.
According to a notice from the Maritime Administration Department (MARAD), they informed that EMGL had started exploration drilling at Lukanani-2 well in the Stabroek Block, with the use of drill ship MODU Stena Carron.
As many as 10 vessels using international signals will be used in the exercise. It was further explained by MARAD that drilling on the well in the Exclusive Economic Zone (EEZ) will be concluded on July 31, 2025.

“The Lukanani-2 Well Site is situated approximately 110.53 nautical miles (204.39 kilometres) off the Coast of Guyana and covers an area of 0.29 square nautical miles (1 square kilometre); bounded by the following coordinates,” MARAD said.
“All mariners are required to stay clear of these vessels and navigate with extreme caution when in the vicinity… communication can be made to these vessels or the Georgetown Lighthouse on VHF Ch. 16.”
ExxonMobil had announced its Lukanani-1 discovery, along with two other discoveries, in April 2022. The Lukanani-1 well was spud and completed by the Noble Tom Madden, which was one of four drill ships owned by Deepwater drill company Noble Corporation that had its contract with ExxonMobil Guyana extended until 2028 to operate in Guyana.
According to the company in its announcement, “the Lukanani-1 well encountered 115 feet (35 metres) of hydrocarbon-bearing sandstone and was drilled in a water depth of 4,068 feet (1,240 metres).”
ExxonMobil Guyana had previously indicated its plans to drill 30 development wells this year, with the company setting the stage for future exploration and production of oil in the Stabroek Block.
During an appearance on the Energy Perspectives podcast, ExxonMobil Guyana’s President Alistair Routledge had explained that the company is looking to prepare for its upcoming developments with a range of development wells. Of course, with Yellowtail having a 2025 startup, this will be an area of crucial importance.
EMGL, Exxon’s local subsidiary, is the operator of the Stabroek Block, and holds a 45 per cent interest then, while Hess Guyana Exploration Ltd holds a 30 per cent interest, and CNOOC Petroleum Guyana Limited, a wholly-owned subsidiary of CNOOC Limited, holds the remaining 25 per cent interest.
Currently, ExxonMobil is producing oil from three offshore developments in Guyana: Liza Phase One and Two, which utilise the Liza Destiny and Liza Unity Floating Production Storage and Offloading (FPSO) units, and the Payara Project, which uses the Prosperity FPSO. All these projects are located in the Stabroek Block. The Prosperity FPSO vessel started pumping oil in November of last year and so far, its daily production rate has risen to above 200,000 barrels of oil. Combined, the Liza Destiny, Unity and Prosperity FPSO vessels produced over 625,000 barrels of oil per day. Guyana pumped out over 220 million barrels of oil for the entirety of 2024. It is estimated that when the Yellowtail development project comes on stream, production will climb to 810,000 barrels per day by 2027.
Additionally, Exxon has already received approvals for and is advancing preparatory works on its fifth and sixth projects, Uaru and Whiptail. Hammerhead, its seventh project, is expected to feature up to 30 wells and has been speculated to contain even better reservoirs than Liza field. Meanwhile, Longtail is Exxon’s eight project.
The company has meanwhile also completed the purchase of all three FPSO vessels operational in the block, with the purchase of the Liza Destiny FPSO for US$535 million back in December 2024.