CGX Energy Inc V.OYL

JAN-20-2019: ECO-ATLANTIC: MOTHER OF ALL DRAGONS

[OIL_RUN]

Good for Eco-Atlantic: “Guyana is the jewel in the crown, the mother of dragons. This is the hottest exploration area in the world. It’s no longer frontier, it’s a sub mature basin.


CGX have the adjoining block to Orinduik - here we are with no information whatsoever. Why is information being withheld???


https://www.kaieteurnewsonline.com/2019/01/20/offshore-guyana-is-the-jewel-in-the-crown-the-mother-of-dragons-eco-atlantic-ceo/


Chief Executive Officer (CEO) of Eco Atlantic, Gil Holzman is excited about the future of oil in Guyana. This is especially so, since he believes that Eco and its two other partners, Tullow and Total, have bagged “an elephant-sized asset” in the Orinduik Block.

According to Holzman, “Guyana is the jewel in the crown, the mother of dragons. That is the hottest exploration area in the world. It’s no longer frontier, it’s a sub-mature basin,” he said.
Holzman added, “This is phenomenal, over four billion barrels of pure, sweet, high grade API oil, which the refining itself is much easier than say neighbouring Venezuela (which produces heavier, sourer crude), in a place that is easy to operate. It’s a paradise for exploring in that sense.”
Holzman also revealed that the partners, including French super major Total, will drill the first of two planned wells on Orinduik on a prospect called Jethro-Lobe in late May or early June.
Holzman said that the well is most likely to spud in the third or fourth week of May and will actually zone in on an Upper Tertiary target called Lobe within what is described as the Jethro complex, which is assessed as having a series of targets.
An initial statement from Eco had said that the prospect is in the Upper Cretaceous horizon. However, a later statement corrected this to Upper Tertiary, with Holzman also clarifying that total depth is in the Cretaceous.
Eco has also said the gross prospective resource estimate at Lobe is 250 million barrels of oil, with a chance of success estimated at 44 percent.
Although Holzman clarified that the figure of 44 percent should be read as Eco’s number, he added, “The number is not materially different from what our partners think.”
However, Tullow’s Exploration Director, Angus McCoss said that the 2019 drilling candidates were being given chance of success “in the twenties” of percent.
Holzman added, “One could think that the 250 million is a small number, but we don’t consider it as one target, it is complex – very much like TEN in Ghana,” referring to the under-development Tweneboa-Enyenra-Ntomme field complex, operated by Tullow.

Tullow and the project Ghana team, they see as a very similar to what they have in TEN and this is why we are targeting it first, because the first target might open a big field,” he continued.
“Jethro is a complex; Lobe is the immediate drilling target. It is a big canyon, a big channel with a lot of sand… (If) we prove Lobe contains oil, it will open up a very big complex.”
Tullow said last week that it had identified four 2019 drill candidates on the block: Jethro, Kumaka, Amaila and Aurituk. The last is seen as possibly on trend with ExxonMobil’s Hammerhead discovery on the Stabroek block, a find that is assessed as extending over into Orinduik.
“We consider Hammerhead in many ways to extend into our block, meaning that Hammerhead is a discovery also on our block,” Holzman said.
“We believe that it will be some time in the near to mid-term future subject to unitisation talks and we (will) try to start those talks based on the geophysics, which are very clear to all parties, instead of spending some $40 million on a well that basically nobody needs to drill.”
Holzman said the partners may be in a position in January or February to nominate the second well on Orinduik, although he agreed it is most likely they would drill on Aurituk next, with both wells possibly drilled back-to-back.
“I think eventually this block can easily be a target for 10 or more wells,” he said.

Eco, which is a 15% stakeholder in Orinduik, has put the estimated net cost to it of the first well at $7.6 million, although Holzman cautioned that the company was being conservative on the high side with that estimate