RE:No commercial oil at Jabillo-1, Sapote is next targetThough unfortunate, its a painful reminder that oil exploration is not easy and guaranteed. Leading into their original Bulletwood-1 well in deeper water, Exxon had called it a "Liza look alike". As we know (well I think most do), it was a dry (or non-economic well). The next two wells, Tanager and now the Jabillo, were also dry wells.
Good thing for ExxonMobil in Stabroek is that their Ranger-1 well was drilled pretty far offset from Liza/Payara and encountered ~70m of oil-bearing carbonate reservoir (so not sandstones like everything else). This discovery gives them ample options to keep drilling in Stabroek for years to come. Just sucks for them down-dip prospects in Kaiteur and Canje blocks haven't amounted to much at all to-date.
For CGX (and more importantly Frontera!), its a reminder that nothing is guaranteed, depsite attempts to go after "look alikes" seen in Suriname. I think Stabroek and the upper-half of Block 58 in Suriname are the fairytale lands everyone hopes for. Everything else to-date in Guyana has been painful lessons... go ask EOG, down 20% at the moment 5min into trading.