8th Discovery!!!Common CGX get the debt restructured so I can retire....
Hess Corp. (NYSE: HES) today announced an eighth oil discovery offshore Guyana at the Longtail-1 exploration well, creating the potential for additional resource development in the southeast area of the Stabroek Block.
The well encountered approximately 256 feet (78 meters) of high-quality, oil-bearing sandstone reservoir. The well was safely drilled to 18,057 feet (5,504 meters) depth in 6,365 feet (1,940 meters) of water. The Stena Carron drillship began drilling on May 25, 2018.
The Longtail-1 well is located approximately 5 miles west of the Turbot-1 well and follows previous world-class discoveries on the Stabroek Block at Liza, Payara, Liza Deep, Snoek, Turbot, Ranger and Pacora.
Longtail drilling results are under evaluation; however, the combined gross recoverable resources of Turbot and Longtail are estimated to exceed 500 million barrels of oil equivalent.
CEO John Hess said: “We are very pleased with this eighth significant oil discovery, which reaffirms the remarkable exploration potential of the Stabroek Block.”
Following completion of the Longtail-1 well, the Stena Carron drillship will move to drill the Hammerhead-1 well located approximately 9 miles southwest of the Liza discovery. The operator plans to add a third drillship that will operate in parallel to the Stena Carron to explore the Block’s numerous high value prospects.
Liza Development Advances
The Liza Phase 1 development offshore Guyana, sanctioned last June, continues to rapidly progress. Development drilling began in May, laying the foundation for production start-up in early 2020. Liza Phase 1 will consist of 17 wells connected to a floating production, storage and offloading (FPSO) vessel designed to produce up to 120,000 barrels of oil per day. Construction of the FPSO and subsea equipment is under way.
The second phase of the Liza development will utilize a second FPSO with gross production capacity of approximately 220,000 barrels of oil per day, with start-up expected by mid 2022. A third phase of development is planned to closely follow Liza Phase 2 and is expected to bring gross production to more than 500,000 barrels of oil per day by late 2023.
Co-venture partners ExxonMobil, Hess and Nexen are focused on enabling Guyanese workforce and supplier development and working with government to support the growth and success of its economy, both in the energy and non-energy sectors. In 2017, ExxonMobil, Hess and Nexen together spent $24 million with more than 300 local suppliers and opened the Centre for Local Business Development in Georgetown, Guyana to promote the establishment and growth of local businesses.
The Stabroek Block is 6.6 million acres (26,800 square kilometers). Esso Exploration and Production Guyana Limited is operator and holds a 45 percent interest in the Stabroek Block. Hess Guyana Exploration Ltd. holds a 30 percent interest and CNOOC Nexen Petroleum Guyana Limited holds a 25 percent interest.