Oil giant ExxonMobil, which has been drilling the Jabillo-1 well in the Canje Block offshore Guyana almost simultaneously with its other wells, has found no evidence of oil in commercial quantities.
Eco CEO Gil Holzman
This is according to Westmount Energy Limited, which is an indirect partner in the Canje Block alongside JHI Associates. According to a missive, JHI informed Westmount that the Jabillo-1 well, which was drilled to a depth of 6475 metres, was found not to have commercially viable oil. As a consequence, the well will be plugged and abandoned.
“Project operator Exxon will now switch attention to the Sapote-1 well, more than 100 kilometres away, to test the largest prospect to date on the Canje Block. Sapote-1 is located closer to Exxon’s Upper Cretaceous discoveries in the Stabroek Block,” Westmount said in their missive.
“It is described as an independent multi-layer prospect, which will evaluate several Upper Cretaceous targets. It is anticipated that Sapote-1 will be spudded in mid-August using the Stena DrillMAX drillship, with results due to follow in October.”
In a statement released by Yahoo Finance, Eco Atlantic’s Chief Executive Officer (CEO) Gil Holzman admitted that while the update on the Jabillo well is disappointing, it is part and parcel of the nature of oil exploration.
Jabillo-1 was drilled by the Stena Carron
“Our stakeholders continue to support our exploration efforts and look for us to continue to define these near-term high impact opportunities. Our next focus is the Sapote-1 prospect to be spud in the upcoming weeks which brings us another opportunity to share in what we hope to be another major ExxonMobil led discovery,” he said.
“JHI was carried on the Jabillo-1 well and this is just the first in a series of exploration wells that Eco expects to be involved in this year and next. Guyana has proven to be one of the most prolific hydrocarbon regions on the globe and the high discovery ratio continues and the company continues to be excited about its near-term future prospects on both the Orinduik and the Canje Blocks.”
According Holzman, the Saopte-1 well is adjacent to existing discoveries and will be spudded in mid-August 2021. According to him, the drilling targets in the region have proven that they hold hundreds of millions of barrels of oil and oil equivalent and the company therefore looks forward to success from Sapote.
“I am happy that we managed to become a part of JHI and the Canje Block exploration program in time that offers our stakeholders a stream of high impact catalysts and an ongoing drilling program operated by ExxonMobil.”
“I have a great confidence that our Canje Block exposure will yield great returns and oil discoveries as it also paves the way to a broader exposure and collaboration in the Guyana-Suriname Basin,” Holzman said.
It had been reported in March that Exxon was engaged in drilling the Jabillo-1, using the Stena Carron drillship, between March 10 and March 27. The Stena Carron, after drilling the Jabillo-1 well and maintenance activities, was scheduled to resume drilling on the Koebi-1 well.
The Jabillo-1 well happens to be the second of three exploration wells Exxon had scheduled for drilling in the Canje Block in 2021. The other two are the Bulletwood-1 well and the still to be drilled Sapote-1 well. Like Jabillo, Bulletwood-1 had also come up dry.
The Canje Block is currently operated by local ExxonMobil subsidiary, Esso Exploration & Production Guyana Limited (35 per cent), with Total (35 per cent), JHI (17.5 per cent) and Mid-Atlantic Oil & Gas Inc (12.5 per cent) as partners.
Westmount Energy owns an indirect interest in the Canje Block as a result of its 7.2 per cent interest in the issued share capital of JHI Associates. (Jarryl Bryan)
