Suriname’s second final investment decision (FID) is expected from Petronas for a potential Block 52 development, Managing Director of Staatsolie, Annand Jagesar has said.
Petronas Suriname E&P is the operator of Block 52 with a 50% participating interest. ExxonMobil Exploration and Production Suriname B.V. holds the other 50%.
Three significant discoveries were made at Block 52.
The latest discovery was made on May 15 at the Fusaea-1 well, located 170 kilometers from the Roystonea-1 well. The two combined hold some 400 million barrels of oil, according to Wood Mackenzie.
There is also the Sloanea-1 discovery. Petronas spudded the Sloanea-2 appraisal well in April. Jagesar told Suriname’s Ware Tijd that the flow test results from Sloanea were “beyond expectations.”
“They need even more volume, so they’re going to drill two more exploration wells. These are planned for now until 2025. They want to turn this into an oil development…They have now started preparations to bring it to FID,” Jagesar said.
The Staatsolie Managing Director explained that the country aims to have an FID by 2027.
“We’re trying to speed that up. Their oil could also be in production around 2030,” Jagesar said.
Petronas is being encouraged by a Letter of Agreement (LoA) signed with Suriname state oil firm, Staatsolie earlier this year. This promises a tax-free period of 10 years from the start of gas production.
Rystad Energy sees Suriname’s first standalone gas project potentially materializing as early as 2031, at Block 52. As for Petronas’ Roystonea-1 and Fusaea-1 oil discoveries in this acreage, Head of Americas Upstream at Wood Mackenzie, Mark Oberstoetter, said the resources could support a processing capacity of 100,000 barrels per day (b/d) with a floating production, storage and offloading (FPSO) vessel.
Petronas had hinted at a floating liquid natural gas (FLNG) project. FLNG involves extracting gas from a floating production platform, liquefying it, and storing it for transport in gas tankers.
This would follow TotalEnergies’ Block 58 oil development, which is planned for first oil by 2028. The company recently announced its FID for the project.
