Exploration/Development news briefs, May 18

Perez Companc SA, Buenos Aires, made an oil discovery in Ecuador that it believes contains more than 500 million bbl. The find was on Block 31 in Orellana province, where the company holds a 100% interest. If the estimate is accurate, the find would boost Perez Companc's reserves by 50%. "The well's production potential found so far exceeds 5,000 b/d of oil," said the company. Only one zone has been tested; drilling is continuing toward three other target zones. Perez Companc plans to drill two additional wells on the block during the next year.

Chevron Corp.signed a 5-year production-sharing contract with Equatorial Guinea to explore an offshore block in water as deep as 2,000 m. Located in the Rio Muni basin, the Block L contract area covers 4,250 sq km. Chevron said only that the work program includes seismic acquisition and exploration drilling. "This block is on trend with [Triton Energy Ltd.'s] recent promising discoveries at the La Ceiba field," said Robertson. "We're looking forward to applying Chevron technical expertise in deepwater exploration to the Rio Muni basin.� Chevron, which holds a 100% interest in the block, plans to establish an office in Equatorial Guinea later this year.