Repsol buys into Peruvian block

Repsol Exploracion Peru, a unit of Spanish company Repsol-YPF SA, has acquired a 60% share in Peru�s northern jungle Block 39 from US firm Barrett Resources Corp., Denver, Colo., which became block operator in September 1999.


By an OGJ Online Correspondent

LIMA, Feb. 13�Repsol Exploracion Peru, a unit of Spanish company Repsol-YPF SA, has acquired a 60% share in Peru�s northern jungle Block 39 from US firm Barrett Resources Corp., Denver, Colo., which became block operator in September 1999.

Repsol is the new operator. Barrett retains 40% of the contract.

Barrett had been seeking a partner for the block to endeavor to complement heavy grade oil it found in 1998 in neighboring Block 67, either with lighter grade oil or large amounts of heavy grade to make the find commercial.

Meanwhil, Block 67 is on standby, although Barrett has increased its share in the contract to 85% after buying out former South Korean partners Korea National Oil Corp., 20%, and Hyundai Corp., 10%. US company Advantage Resources Inc., Denver, continues to hold 15%.

Repsol recently obtained 25% of Block 64�east of Block 39�and Pluspetrol�s producing Block 1-AB. It also obtained approval from the government and will shortly sign an agreement for Block 27, south of Block 64.

It is the operator in nearby Block 32, where it is beginning to drill this year�s first jungle exploration well.

Repsol is also exploring Blocks 34 and 35 in the Ucayali basin in partnership with Argentine firm Perez Companc SA.

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