Venezuela selects ChevronTexaco, Statoil to operate blocks on Plataforma Deltana

By OGJ editors

HOUSTON, Feb. 10 -- Venezuela's Energy and Mines Ministry has selected ChevronTexaco Corp. and Statoil ASA separately to operate two of the five offshore blocks in the northeastern Deltana Plataforma, a major natural gas prospective area on Venezuela's Atlantic continental shelf. The energy ministry speculates that the area potentially could contain as much as 38 tcf of natural gas.

Awarding the blocks on the Deltana Plataforma is the first initiative toward extracting nonassociated gas in the Delta Amacuro 200 km off Venezuela and near the maritime border with neighboring Trinidad and Tobago. Venezuela hopes to begin generating revenue from the blocks starting in 2007.

ChevronTexaco, which offered $19 million for Block 2, will be awarded the license for that block. Block 2 is thought to contain the significant undeveloped gas accumulation known as Loran field, which was discovered in 1982 by state-owned oil firm Petroleos de Venezuela SA (PDVSA).

ChevronTexaco said that once the license is issued, the company has 3 years to complete the exploration and delineation program to determine Block 2 commerciality.

ChevronTexaco also has a 50% interest in Block 6d in Trinidad and Tobago, which contains the cross-border extension of Loran field.

Statoil's block
Statoil was awarded the license to operate Block 4, which encompasses about 1,435 sq km in 200-800 m of water. The company submitted a winning bid for the block in December, with a signature bonus of $32 million.

Statoil said it has committed to drilling three exploration wells, at an estimated cost of $60 million, over the next 4 years to define the resource potential of the area.

"We've worked closely over many years with Venezuela's Ministry of Energy and Mining, PDVSA, and a wide range of supply and service companies," said Richard Hubbard, executive vice-president for Statoil's international exploration and production business area. "With our joint success, this project can make a significant contribution to Venezuela's offshore industry development."

TotalFinaElf SA had bid $100,000 in December for Block 3, which has not yet been awarded.