Onshore/Offshore / Exploration
Envoi has been engaged to assist a private client in the search for a partner(s) to join in the exploration of three blocks in a well-established hydrocarbon region of the Caribbean. Envoi’s Client would now like to establish potential industry interest to farm in and earn equity in one or more of the Blocks on offer by funding the planned work programmes in each before expiry between 2022 and 2023. Fulfilling the work commitments involves the drilling of a well in each of the two offshore Blocks and acquiring new 2D seismic in the onshore Block.
The proven producing play fairway is a complex east west trending fold and thrust belt incorporating multiple duplexes of stacked Upper Jurassic and Lower Eocene carbonates that have been significantly fractured by the tectonics associated with regional plate movements. Although the oils are relatively heavy in the region (i.e. 8 – 13 API°), the fractures, which tend to be best developed in the crests of each thrust ensure particularly good commercial flow rates which can reach over 2000 bopd/well, up to 6 million barrels per well and over 25,000 bopd GWI pool production. In excess of 300 million barrels of oil have already been produced in this underexplored region, sourced from mature organic marine shales in the Cretaceous carbonate reservoir play.
Envoi’s client has been active in E&P in the region for almost thirty years and has established considerable expertise and equally important, comprehensive business and government relationships, making them a partner of choice. In 2019, they drilled a well in the offshore acreage to appraise a potential new deeper carbonate thrust play initially discovered in 1993. This recent appraisal well has satisfied the current term’s work obligations and the Client now wishes to concentrate on undrilled 3D defined prospects in the proven shallower play. The target prospect is technically a simpler play objective and considered low risk as it lies immediately on trend with a large proven producing (200+ MMbbl) analogue field in the same shallow play in adjacent acreage. The estimated Pmean 60+ MMbbls (130+ MMbbls P10 upside) can be accessed, as have as most of the highly successful historical drilled pools, by an extended reach well from onshore (estimated cost US$18 million).
Reprocessed 3D seismic over the second offshore Block has defined several new undrilled prospects which would further extend the proven shallow thrust play fairway, estimated capable of a combined 90+ MMbbls resources. A planned shorter long-reach commitment well drilled from onshore to offshore could be drilled for just US$10 million.
The third Block, located onshore, requires a new 2D seismic work commitment that is estimated to cost US$ 5 million prior to a drilling decision.
The Client is offering up to 50% of its current 100% equity in one or more of the three blocks in return for funding the planned wells in each of the offshore blocks and seismic onshore. Due to the Client’s established operations in country, operatorship is not on offer on this project. Our client is offering a unique opportunity to participate in progressing exploration in a world class play by joining a partner of choice who has an impressive track record and is planning to repeat it in this next cycle of exploration and expected exploitation.