ExxonMobil announces new discovery offshore Guyana

ExxonMobil announces new discovery offshore Guyana

ExxonMobil (NYSE:XOM) has announced a new oil discovery on the Stabroek Block offshore Guyana.

The American oil giant reported positive results on the Snoek well at the project which confirmed the new discovery, located in the Southern portion of the Stabroek Block.

Drilling commenced in February and the highlights included hitting 25m of ‘high-quality’ oil-bearing sandstone reservoirs.

The Snoek well targeted similar aged reservoirs as encountered in previous discoveries at Liza and Payara on the block.

“The latest discovery at Snoek demonstrates the continued success we have achieved in this technically complex play, which is just part of the significant exploration province offshore Guyana,” said Steve Greenlee, president of ExxonMobil Exploration Company.

The Stabroek Block is a 6.6 million acre joint venture between Exxon affiliate Esso Exploration and Production Guyana Limited, which holds 45% and is the operator, and Hess Guyana Exploration and CNOOC Nexem Petroleum Guyana Limited which hold 30% and 25% respectively.

“As we continue to evaluate the full potential of the broader Stabroek Block, we are also taking the necessary steps to ensure the safe, cost-efficient and responsible development of this world-class resource, which can provide long-term, sustainable benefits to the people of Guyana,” added Greenlee.

Guyanan President David Granger followed the announcement by reiterating his government’s commitment to the development of the country’s oil and gas sector, promising there will be an atmosphere of transparency and trust.

“We are committed to the norm of transparency, so that we can move forward at a domestic level, not only in an atmosphere of transparency but truest, so that all Guyana would see this is not a short term bonanza; so that Guyanese will see this as a national industry,” Granger said.

“In this regard we are walking step by step as the developments take place offshore and the developments in terms of our legislations within our regulatory framework in terms of the passage of information to various stakeholders in Guyana and the diaspora so that we can create an environment, which is stable and secure.”