Eco Atlantic Oil & Gas has been making some major announcements about potential multli-billion-barrel deposits at its Orinduik block offshore the South American country of Guyana. CEO, Gil Holzman told Vox Markets in an interview on Tuesday that the company’s main focus is to deliver on its promise of an oil bounty when it spuds its first well in June.
Holzman is hedging all bets on discovering large volumes of oil in Guyana. He describes this as a ‘company maker’ and ‘game changer’ for Eco Atlantic with hopes of replicating the success US oil major ExxonMobil has had in the neighbouring Stabroek Block, located approximately 6 kilometers away from Orinduik. Exxon and joint venture partners Hess and CNOOC have made a record 12 discoveries in 3 years, totaling more than 5.5 billion barrels of oil equivalent.
“All of these discoveries and the fact that they directly correlate with what we see on our block gives us a lot of comfort that there is a hydrocarbon presence and good reservoirs extending into our block and gives us a lot of comfort towards this coming June campaign together with Tullow and Total,” he said.
Tullow is the operator at the Orinduik Block with a 60 percent stake while Total has 25 percent and Eco Atlantic Oil and Gas has 15 percent. The joint venture partners increased their estimated recoverable reserves to 4 billion barrels of oil equivalent on March 18. The estimate is based on data gathered, including that obtained at the Latuk Lead on the Orinduik Block which the company says bears great similarities to Exxon’s Hammerhead discovery and shares many of the same channel characteristics.
The Stena Forth has been contracted to drill the Jethro-Lobe prospect, which Holzman says has a 43 percent success rate for a discovery. The agreement also defines a window for a second well on the Orinduik Block, which would be drilled after the Jethro-Lobe well has been completed.
“Now, our main focus is to – as we always did – to deliver on our promises, to make sure that we drill these two prospects in June and in July, hopefully to come back to the market with some very good news,” Holzman stated.