Tullow Guyana makes oil discovery with Jethro-1 well

Tullow Guyana BV reported making an oil discovery with its Jethro-1 exploration well drilled to 4,400 m TD in 1,350 m of water. The well, drilled in the Orinduik license, encountered 55 m of net oil pay, exceeding Tullow’s predrill forecast.

Tullow Guyana BV reported making an oil discovery with its Jethro-1 exploration well drilled to 4,400 m TD in 1,350 m of water. The well, drilled in the Orinduik license, encountered 55 m of net oil pay, exceeding Tullow’s predrill forecast.

The Stena Forth drillship drilled the Jethro-1, which hit oil-bearing Lower Tertiary sandstone reservoirs. Tullow will evaluate discovery well data to determine appraisal plans.

Tullow Chief Executive Officer Paul McDade said Jethro-1 is expected to hold more than 100 million bbl. Guyana has no oil production yet although ExxonMobil Corp. expects to start producing in 2020 from the Stabroek block (OGJ Online, May 3, 2019).

ExxonMobil forecasts the Stabroek block will produce more than 750,000 b/d by 2025 with Liza Phase 1 expected to come on stream in 2020. ExxonMobil has announced repeated discoveries on the Stabroek block, estimating its oil reserves at more than 5 billion bbl.

Tullow’s Jethro-1 discovery substantially lowers the risk for other Tertiary prospects in the Orinduik license, including the shallower Upper Tertiary Joe prospect, which Tullow expects to drill later this month.

Tullow’s non-operated Carapa 1 well is scheduled to be drilled later this year in the adjacent Kanuku license to test a Cretaceous oil play.

Al Stanton of RBC Capital Markets said, “Jethro is not scheduled to be production tested so we expect the Stena Forth drillship to mobilize swiftly to the Joe location,” adding, “We anticipate this well result before the end of September.”

Stanton said he expects Carapa-1 will spud in September. “Thereafter, we expect the participants to reassess the seismic and well data before inking in their 2020 drilling programs,” he said.

Tullow Guyana operates the Orinduik block with a 60% stake. Total E&P Guyana BV holds 25% with the remaining 15% being held by Eco (Atlantic) Guyana Inc.

Contact Paula Dittrick at pdittrick@endeavorb2b.com.

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