Tullow agreed to acquire a 35% interest in Block Z-38 through a farm-down from Karoon Gas Australia, which is subject to Government approval.
The new oil prone acreage will complement the Group’s South America position and contains a number of attractive prospects and leads. Block Z-38 is already covered by high quality 3D seismic and includes the Marina prospect which is a potential candidate for drilling in 2019.
In January 2018, Tullow agreed the terms to acquire a 100% stake in offshore Blocks Z-64, Z-65, Z-66, Z-67 and Z-68. However, in May 2018, the Supreme Decrees, authorising PeruPetro, the state regulator, to execute licence contracts for these blocks, were revoked by the Peruvian Government. Tullow was disappointed by this outcome, as the Group has operated throughout under the strict guidance of PeruPetro and the Ministry of Energy and Mines, and had complied with the process and procedures required under Peruvian law to agree new exploration licences. Since the revocation, Tullow has formally expressed its continued interest in the licences and will continue to work closely with PeruPetro towards execution of these licences.