Jethro-1 well exceeds all expectations

─ drilling will commence shortly at Joe in the Orinduk Block and is estimated to produce 150 million barrels (oil equivalent)

DPI, Guyana, Wednesday, August 14, 2019

The discovery at Jethro-1 well offshore Guyana has exceeded all expectations and has de-risked the tertiary sandstones across the Orinduk block. This is according to the Chief Executive Officer (CEO) of Eco (Atlantic) Oil & Gas Limited, Gil Holzman.

Holzman was at the time appearing on a podcast produced by UK-based Proactive Investors on Tuesday, August 13. He said that “181 feet of net pay” or 55m of very high-quality sandstone reservoir was encountered during the exploration exercise at the Jethro-Lobe prospect.

“This thickness exceeds our best estimate pre-drill assumptions. So, it is potentially a much bigger discovery than we anticipated, but I think the main issue here is that it de-risks the at least tertiary sandstones that we see across the entire block,” he said.

Holzman explained that 181 feet of net pay is equivalent to a 15-story building worth of sand full of oil, which potentially stretches over 20 square kilometres.

“The quality, the porosity of it, and the fact that the entire sandstone is soaked with oil and bringing out the samples were so easy. It gives us a lot of confidence that next year, with a simple appraisal, we can actually consider this Jethro-lobe alone as a stand-alone field.”

The CEO said the discovery has increased confidence in the company’s operations in Guyana. “We are very confident now in the block, and in the teams that have managed, to come up with the first discovery on the first attempt and I think the future just looks really, really bright,” Holzman remarked.

This, he said, is only the beginning. He noted that ExxonMobil’s operations in the Stabroek Block offshore Guyana commenced with 900 million oil-equivalent barrels in the Liza field and to date have over 6 billion barrels (oil equivalent).

“Once you understand the play, it becomes easier and clearer to the professional and technical teams… to pinpoint where the oil has accumulated and target it,” said Holzman.

The CEO disclosed that drilling will commence shortly at Joe in the Orinduk Block and is estimated to produce 150 million barrels (oil equivalent). He made it a point to note that the production estimate may increase.

On August 12, it was announced that the exploration well which was drilled in the Orinduik Block discovered oil in commercial quantities. The discovery was made by Tullow Guyana B.V., who is the operator of the Orinduik Block, with a 60% stake. Total E&P Guyana B.V. holds 25% while Eco (Atlantic) Oil and Gas holds 15%.