By OGJ editors
HOUSTON, Oct. 18 -- Lukoil Overseas Holding Ltd. and the investment division of state-owned Petrόleos de Venezuela SA (PDVSA) have signed a 3-year agreement to research a section of the Junin Block (formerly Zuata) in the Orinoco oil belt in Anzoategui, eastern Venezuela.
The companies will assess heavy oil reserves in the 640 sq km Junin-3 Block.
Junin-3 is northwest of the Sincor oil development, which has been producing 140,000-160,000 b/d, with a capacity of up to 200,000 b/d, of 9º gravity crude from a 19-sq mile sector of the Zuata production area (OGJ Online, June 30, 2003).
PDVSA will coordinate the technical work of the study, while the Ministry of Energy and Petroleum of Venezuela will carry out control and supervision functions. The work results will be subject to approval by the Steering Committee established on parity basis by Lukoil Overseas and PDVSA.
After the studies, the companies will begin negotiations to establish a joint project to develop the Junin-3 Block.
PDVSA recently signed a cooperation agreement with China National Petroleum Corp. that includes a reserves assessment of the 640 sq km Junin-4 Block (OGJ, Sept. 12, 2005, Newsletter).
