Guyana has become an industry hotspot following giant oil discoveries in the Starbroek block. Tullow has interests in two neighbouring licences offshore Guyana with a 60% operated interest in the Orinduik block and a 37.5% non-operated interest in the Kanuku block.
Tullow’s position in Guyana dates back to 2008, when the Group farmed into the then named Georgetown licence, operated by Repsol. In 2013, Repsol re-secured the newly defined Kanuku block, and Tullow secured a 30% interest. In early 2018, Tullow agreed to increase its equity share in the Kanuku licence from 30% to 37.5% in a farm-in deal with Repsol.
In early 2016, Tullow increased is Guyana position after being awarded a 60% operated interest in the Orinduik licence which is a 1,776 square kilometre offshore block.
exploration & appraisal
Acquisition of new 3D seismic across Tullow’s Guyana licences in 2017 highlighted a number of potential prospects across both the Kanuku and Orinduik licences. In 2019, Tullow was ready to commence its exploration programme and started a three-well programme to test three different play types – the Lower Tertiary, the Upper Tertiary and the Cretaceous.
Tullow announced two oil discoveries in Guyana at the Jethro-1 well and the Joe-1 well in the Tullow-operated Orinduik licence in August and September respectively. The Jethro-1 well discovered 55 metres of net pay in high-quality sandstone reservoir in the Lower Tertiary and Joe-1 encountered 14 metres of net pay, opening a new play in the Upper Tertiary.
Following the completion of well operations, oil samples were sent for laboratory analysis and results indicate that the oils recovered from both Jethro-1 and Joe-1 are heavy crudes, with high sulphur content. Tullow and the Joint Venture Partners are assessing the commercial viability of these discoveries considering the quality of the oil, alongside the high-quality reservoir sands and strong overpressure.
The discoveries have proven two different oil plays in this highly prolific basin, and Tullow remains confident of the potential across the multiple prospects in both the Cretaceous and Tertiary throughout the large Orinduik and Kanuku blocks. While the results from the Jethro and Joe wells in the far north of our acreage continue to be evaluated, the petroleum system models are being updated in pursuit of additional prospects and lighter oil in the area and, together with the Carapa well result, these will inform the 2020 drilling campaign.
The Carapa well in the non-operated Kanuku licence, which is targeting the Cretaceous play is currently drilling. The well started at the end of October, with results expected before the year-end.