Colombia

By OGJ editors
HOUSTON, Jan. 11 – Petroamerica Oil Corp., Vancouver, BC, took a farmout from Petroleo Brasileiro SA’s Colombian subsidiary to earn an interest in the Balay block in the Llanos basin.

Working through its Panamanian subsidiary, Petroamerica International Corp., Petroamerica Oil would earn a 15% interest in the block by paying 25% of the cost of the first well, Balay-1, and 15% of back costs of 3D seismic surveys. The first well was spud Nov. 28, 2009, and is expected to reach total depth in February 2010.

Balay is northeast of the Corcel block and recent discoveries located in the basin.