– REPSOL and CGX see positive signs
Guyana’s domestic economy is poised for significant development over the coming years, with the extractive industries playing a great part. Oil is one of the most looked forward to industry, with Government having high expectations of a find. Yesterday, President Donald Ramotar had the opportunity to visit the two offshore oil rigs, REPSOL and CGX offshore Guyana, during which he expressed optimism for an oil discovery.
Accompanied by First Lady Deolatchmee Ramotar, Minister of Natural Resources and the Environment Robert Persaud, and other officials, President Ramotar was able to observe operations on board both rigs and view promising samples on the REPSOL rig.
The United States Geological Survey ranked Guyana as having the second most attractive under-explored basin in the world, with a possibility of 15.2 billion barrels of oil. If a finding was to be made, production targets would be estimated at 50 million barrels per year, which would be about 140,000 barrels per day.
President Ramotar, during yesterday’s visit, was struck by the isolation of the locations and the environment in which the workers carried out their duties.
However, he was impressed by the work being done and the difference between the two rigs.  Nevertheless, he reiterated his optimism for the rigs being here and expressed the hope of all Guyanese that they would both strike oil.
REPSOL began offshore drilling of the Jaguar-1 well in Guyana on December 5, 2011, and could take up to six months to reach the targeted depth.
CGX’s Eagle well is being drilled by the Ocean Saratoga semi-submersible rig, and should be completed in two months, at about 14,200 feet. It arrived in Guyana in February.
REPSOL has spent nearly $52M of an envisioned goal of $180M in expenditure, while CGX is expected to spend $55M. CGX is drilling in the same spot it was evicted from by Surinamese gunboats 12 years ago.
Interest in the Guyana/Suriname basin amplified after explorer Tullow struck oil last year off of French Guiana, raising the prospect of the opening of a major offshore oil producing province in South America.