Petrotrin, Bayfield to explore Trinidad's Galeota block
Trinidad and Tobago's Petrotrin signed an exploration and production contract with Bayfield Energy (Galeota) for exploration of Galeota block and revitalization of Trintes oil field.
PORT OF SPAIN, Apr. 29 -- Trinidad and Tobago's state-owned Petrotrin LLC signed an exploration and production contract with Bayfield Energy (Galeota) Ltd. for exploration of Galeota block and revitalization of Trintes oil field.
Malcolm Jones, Petrotrin executive chairman, said Bayfield will pay all of Petrotrin's capital investment and operating expenses in respect of the minimum work obligations for the first 4 years.
"This work obligation consists of both seismic and exploration wells together with production enhancement facilities," Jones said. He said Trintes oil field, which was discovered in the 1960s and had so far produced 22 million bbl of oil, will be revitalized and that recent seismic surveys had revealed the real possibility of another Trintes look-alike field in the southwest quadrant of the block.
"There is a high probability of finding additional hydrocarbons in commercial quantities," Jones said. Burren Energy won the bid to explore Galeota block, but UK-based oil company was sold in 2007 to the Italy's ENI SPA for $3.5 billion. Burren Energy's operations include oil fields in Turkmenistan, Congo, Egypt, and Yemen. Burren's shareholders then invested in Bayfield.
Jones said the exploration program will involve the acquisition of 120 sq km of full-fold 3D seismic and drilling of at least seven exploration wells to depths ranging 6,500-12,000 ft. "Through this aggressive exploration development program, both Petrotrin and Bayfield remain hopeful that production can be optimised and that there will be major successes in Galeota.
Bayfield Chief Operating Officer Simon Gill said, "By that time, we think the world economy should be improving and the oil price should improve. Now is a good time for us to get in and do the work. Hopefully, we'll get good prices for doing the work and you get your reserves in the future."
Galeota block lies 6 nautical miles east of Galeota Point in southeastern Trinidad. Bayfield will hold a 65% working interest in the new licence and be the operator of the asset and Petrotrin will hold a 35% nonoperating interest.
Bayfield plans to spend around $110 million on the project.