ADVERTISEMENT

Noble Energy, Shell to Explore Colombian Caribbean Sea

Pictured left to right: Ana María Duque, president of Shell Colombia; Luis Miguel Morelli, president of Colombia’s National Hydrocarbons Agency; Ian Gordon, general manager of Noble Energy Colombia; and Jim Demarest, vice president of exploration of Noble Energy on 22 March signed the amendment of interests, rights, and obligations for the contracts covering Blocks COL-3 and GUA OFF-3 off Colombia. Source: Carlos Julio Martínez, ANH.

Noble Energy is entering Colombia in partnership with Shell on two offshore blocks.

The Houston-based independent has acquired from Shell a 40% stake in the 8,800-sq-km Blocks COL-3 and GUA OFF-3 in the Caribbean Sea, with Noble becoming operator of both. Colombia’s National Hydrocarbons Agency (ANH), which awarded the blocks to Shell earlier in March, has approved the deal. Financial terms were not disclosed.

The companies are expected to spend more than $100 million in the first exploration phase, the agency said, as the contracts are contingent on development of minimum exploratory programs. In a press statement announcing the Shell contracts, ANH said investment commitments could exceed $650 million if the programs are fully developed.

According to the statement, Block COL 3 comes with the commitment to reprocess 1,000 sq km of 3D seismic and drill at least one exploration well in the first phase. Block GUA OFF 3 contemplates a three-phase program that includes reprocessing 2,000 sq km of 3D seismic in the first phase, acquiring 2,461 sq km of 3D seismic, and taking 43 piston core samples.

“We hope to drill our first well after carefully analyzing the prospects and obtaining the corresponding approvals by the government,” said Ian Gordon, general manager of Noble Energy Colombia, in an ANH release announcing the Noble-Shell deal.

“It is a serious bet of two large companies on the Colombian offshore potential, which will surely bring progress and wellbeing for the Caribbean region as a whole,” said Luis Miguel Morelli, ANH president.

The deal follows $400 million in Colombian Caribbean investments recently reported by Petrobras in the Tayrona block and Colombian state-owned Ecopetrol in Block COL-5, the agency said. The contract for Block COL-5, located near Anadarko Petroleum's Purple Angel gas discovery, was the first signed under the country’s newly revised contract model, Reuters reported.

Noble Energy, Shell to Explore Colombian Caribbean Sea

27 March 2019

No editorial available

ADVERTISEMENT


STAY CONNECTED

Don't miss out on the latest technology delivered to your email weekly.  Sign up for the JPT newsletter.  If you are not logged in, you will receive a confirmation email that you will need to click on to confirm you want to receive the newsletter.

 

ADVERTISEMENT

No editorial available

ADVERTISEMENT

ADVERTISEMENT

ADVERTISEMENT