Tecpetrol group to operate northern Ecuador fields

By OGJ editors

Petroecuador has awarded a joint venture led by Tecpetrol International SA an incremental production contract covering Libertador and Atacapi mature fields in northern Ecuador.

Producing for 30 years, the fields are making a combined 16,000 b/d and are amenable to secondary recovery. The joint venture also includes Schlumberger Ltd., Sertecpet SA, and Canacol Energy Ltd., Calgary. The contract includes potential exploration upside.

The Tecpetrol group will spend $334 million to drill 31 development wells and rework 28 existing wells over the contract’s 15-year life. In return for the increased output, the group will receive a fixed $39.56/bbl of incremental oil produced.

Petroecuador will absorb all operating costs and continue to manage regular operations, licensing and permits, and community and government relations. The group will supervise base curve production and assist Petroecuador with potentially reducing operating expenses, splitting any success 50-50.

Besides incremental production, the contract entitles the group to additional upside potential from optimizing the fields’ existing production, implementing various secondary recovery techniques, and exploration opportunities.

Canacol noted that it has achieved success under similar risked service contract terms at Rancho Hermoso field in the Mirador formation in Colombia, hiking output 14-fold to 34,000 b/d in 3 years.

Related Articles

WINTER HITS U.S. INDUSTRY, STRAINS GAS SUPPLY

01/01/1990 A record breaking cold front before and during the weekend of Dec. 23 shut down several major refineries and petrochemical plants in the U.S. Gulf ...

INTERNATIONAL BRIEFS

01/01/1990 WESTCOAST ENERGY INC., Vancouver, B.C., agreed to buy the utilities and propane business of Inter-City Gas Corp. (ICG), Winnipeg, Man., for $720 mi...

GAS EXPLORATION FANS OUT MIN ARKOMA BASIN

01/01/1990 Gas exploration is heating up in the South Central Arkoma basin's pre-Pennsylvanian formations. Several operators are targeting Siluro-Devonian...

STATOIL STUDY CONFIRMS ADVANCED DESIGN FOR CONDENSATE PIPELINE

01/01/1990 F. Blaker Statoil Oslo In a study of the feasibility of installing a condensate pipeline over uneven seabed offshore Norway, Statoil has concluded ...

Careers at TOTAL

Careers at TOTAL - Videos

More than 600 job openings are now online, watch videos and learn more!

 

Click Here to Watch

Other Oil & Gas Industry Jobs

Search More Job Listings >>
Stay Connected