PENNZOIL TO EXPLORE TRACT OFF QATAR

A unit of Pennzoil Co., Houston, has won rights to explore a large tract in the Persian Gulf off Qatar. Under a production sharing agreement (PSA) signed last week in Doha, Pennzoil Qatar Inc. in the next 4 years will carry out seismic survey and drilling programs on Block 8, a 1,055 sq mile tract in 100-120 ft of water about 50 miles offshore. The tract is equal in size to 117 blocks in the Gulf of Mexico federal planning area. The work program is to include four wildcats to test the Jurassic

July 18, 1994

2 min read

A unit of Pennzoil Co., Houston, has won rights to explore a large tract in the Persian Gulf off Qatar.

Under a production sharing agreement (PSA) signed last week in Doha, Pennzoil Qatar Inc. in the next 4 years will carry out seismic survey and drilling programs on Block 8, a 1,055 sq mile tract in 100-120 ft of water about 50 miles offshore. The tract is equal in size to 117 blocks in the Gulf of Mexico federal planning area.

The work program is to include four wildcats to test the Jurassic and Cretaceous.

Pennzoil said Block 8 lies in a salt basin similar to the Gulf of Mexico, where 3D seismic data can help find and delineate oil and gas reservoirs.

Pennzoil Qatar intends to begin field work immediately, with the first Block 8 wildcat to spud late in 1995.

James L. Pate, Pennzoil chairman and chief executive officer, said the PSA with Qatar fits his company's strategy of expanding internationally.

Halul Island, site of an oil terminal with tanker loading facilities, is located in Block 8. Combined reserves of three large fields adjacent to the tract are estimated at more than 3 billion bbl.