By OGJ editors
HOUSTON, Jan. 23 -- Two Canadian independents will prospect on 214,000 acres in the underexplored Central Range in central Trinidad.
Petro Andina Resources Inc., Calgary, plans to acquire a 50% working interest from Voyager Energy Ltd., a private Calgary firm, and become operator of the onshore Central Range Shallow and Central Range Deep blocks. Drilling is likely to begin in 2009.
The blocks are subject to production-sharing contracts, and the deal is subject to approval by the Trinidad and Tobago government. The government awarded the blocks to Voyager on Jan. 10.
Petroleum Co. of Trinidad & Tobago has the right to participate for a 35% working interest in any development on the shallow block and for a 20% working interest in any development on the deep block.
The PSCs provide for an initial 4-year exploration phase with 2-year extension options.
The PSCs apply to hydrocarbon rights above and below 4,500 ft true vertical depth, respectively. They have work obligations of 100 line-km of 2D seismic, 250 sq km of 3D seismic, one well to at least 12,000 ft, and three wells to 4,500 ft or less.
Petro Andina and Voyager will each pay a $2.75 million signature bonus upon final government approval, and Petro Andina will carry the first $5 million of Voyager's seismic acquisition costs in the exploration phase.
Petro Andina estimated its 2008 capital spending in Trinidad and Tobago will total $15 million, mostly for seismic surveying.
