S&P Global has determined that six discoveries made in Guyana’s Stabroek Block, are among the 12 most valuable oil discoveries made in 2022.
In descending order, these are Lau Lau-1, Seabob-1, Barreleye-1, Fangtooth-1, Kiru Kiru-1 and Sailfin-1. They were ranked 4th to 8th, and 11th in value.
The Baja discovery made by APA Corporation in Block 53 offshore Suriname came in at 10th place.
ExxonMobil, the operator of the Stabroek Block, was also determined to be a leader in oil and gas discoveries in 2022. However, though volume of a discovery is an important metric, S&P noted that it is the value of the discoveries that is the main driver for operators. The firm demonstrated that the discoveries with bigger volumes may not necessarily be the most valuable to international oil companies (IOC). This is due to factors like the fiscal terms of the license under which the discovery was made. S&P provided, for example, that the second biggest discovery in terms of volume from 2022 is Petrobras’s Alto de Cabo Frio. Yet, it was found to be the 12th most valuable discovery due to the high government take (just over 90%).
TotalEnergies was able to cop the biggest and most valuable single discovery in 2022 at the Venus 1-X well off the coast of Namibia, in Block 2913B. This well is said to contain 3 billion barrels of recoverable resources. Shell’s Graff-1 discovery, made in the nearby Block 2913A, was found to be third most valuable.
Due to the successes of 2022, S&P predicted that companies would likely appraise the Venus, Graff, Fangtooth and Alto de Cabo Frio finds. ExxonMobil has already started appraisal drilling at Fangtooth. Its best exploration year in Guyana since 2015, by quantity of discoveries, was 2022.
