Page 20 - LatAmOil Week 43 2020

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SERVICES “The extension provides a solid addition to in Colombia, where it has its most prospective
our firm backlog for the northern winter, and assets and with a stable political and economic
CGG prepares for Nebula austral summer season,” said Irene Waage Basili, situation, the Company has decided to focus on
the CEO of Shearwater GeoServices. “We are production and commercialisation of natural
Phase II in deepwater Brazil pleased to continue to work with CGG on this gas in our Maria Conchita, SN 9 and Tiburon
major survey offshore Brazil.”
blocks in Colombia .
CGG has announced that Nebula 3D Phase I is This extension-period commences in late NGX Energy International Corp. is a publicly
nearing completion and acquisition will soon Q4-2020 and will be conducted by the Oceanic traded E&P company on a mission to provide
commence on Phase II. Sirius. a clean and sustainable solution to Colombia’s
Nebula 3D is a large, long-offset BroadSeis™ Shearwater GeoServices, October 27 2020 energy needs. The Company intends on execut-
survey located in the prospective Campos and ing this mission by producing and bringing gas
Santos Basins offshore Brazil. Phase I covers to the premium priced Colombian gas market
approximately 17,700 square km on the south- INVESTMENT from its concessions, SN-9, a 311,353 acres block
eastern side of the survey area providing 3D which is adjacent to Canacol’s Nelson field, as
data coverage where currently no other 3D data NGX Energy sells oil and well Maria Conchita, a 32,518 acre block located
exists. Phase II covers approximately 10,000 in the region of La Guajira. NGX’s team has
square km on the northern side of the survey gas interests in Argentina extensive technical expertise and a proven track
area with underlying broadband datasets that record of building companies and creating value
will provide input for dual-azimuth imaging. NGX Energy International is pleased to in South America.
The Nebula Phase II dual azimuth data will announce that the Company has accepted an NGX Energy International, October 20 2020
better illuminate pre-salt events and address offer from Compañia Argentina de Comodoro
significant challenges posed by thick volcanic Rivadavia Explotacion de Petróleo and Financier
layers in this portion of the survey. CGG’s indus- to acquire 100% of NGX’s oil and gas interests RATINGS
try leading Subsurface Imaging Center in Rio de in Alianza Petrolera Argentina, the Argentine
Janeiro will employ state-of-the-art processing subsidiary through which NGX operates the Sur Fitch affirms Hunt Oil Peru
technology including Interbed Multiple Attenu- de Rio Deseado Este block and holds interest in
ation and proprietary Time-lag FWI to dramat- Estancia La Mariposa block. at BBB, outlook stable
ically improve the velocity model and produce Under the terms of the purchase offer, the
clearer, more focused subsurface images of this Purchaser will acquire Alianza and assume all Fitch Ratings has affirmed Hunt Oil Co. of Peru,
prolific pre-salt area. rights and responsibilities relating to the oil and Sucursal del Peru’s (HOCP) Long-Term Foreign
Commencement of Phase II is expected gas assets and general operations of Alianza. and Local Currency (FC/LC) Issuer Default Rat-
early December and acquisition will be carried As consideration, the Purchaser has granted ings (IDRs) at BBB. The Rating Outlook is Stable.
out by Shearwater’s Oceanic Sirius. Fast track a royalty of 7% to the Company calculated on Fitch has also affirmed HOCP’s $600mn senior
results are expected Q4-2021 and final prod- the future production result of the Sur de Rio unsecured notes due 2028 at BBB.
ucts are expected Q1 2022, which will include Deseado Este block, up to total royalty payments HOCP’s ratings reflect the company’s solid
a TTI Kirchhoff PSDM, a TTI RTM 45Hz and a of $100,000. The transaction also includes the capital structure reflected in its moderate lever-
LSRTM 45Hz. assumption by the Purchaser of all responsibili- age and sound credit metrics. The ratings also
Sophie Zurquiyah, CEO CGG, said: “The ties for any existing and future liabilities, as well reflect the company’s manageable capex invest-
Brazilian Pre-Salt is the largest worldwide oil as a guarantee of indemnity for potential claims ment plan required to maintain the reserve life
discovery in the last decades and it is the most against NGX, its related companies, former of blocks 88 and 56 due to the nature of the fields
important exploration play in the world, highly directors, executives, employees, representatives and amounts invested in the past. The ample
coveted by all supermajor oil companies and by and advisers. The decision to sell was based on reserve life of Camisea’s blocks 88 and 56, and
new players willing to enter in this prospective the political and macroeconomic situation in steady production levels at a relatively low pro-
sector. This addition to our already very large 3D Argentina, currency devaluation, continuous duction cost compared with its Latin American
multi-client library in the Santos and Campos rising inflation, GDP drop and government peers, support the company’s strong cash flow
basins underlines our commitment to offering restriction in the currency markets that make generation. This, coupled with a conservative
the industry ultramodern data sets to support investments in Argentina highly risky. With capital structure and adequate liquidity, has
optimised exploration and development of the the completion of this transaction, the Com- allowed the company to satisfactorily navigate
entire pre-salt area.” pany will have no further business presence in the downturn of the energy prices cycle, com-
CGG, October 27 2020 Argentina. bined with lower demand from the coronavirus
With the Company’s recent discoveries made pandemic.
Shearwater GeoServices ital investment are considered moderate and
HOCP’s growth strategy and associated cap-
receives five-month Fitch expects HOCP to maintain a financial and
credit profile consistent with the assigned rating.
extension to CGG survey HOCP’s ratings are also supported by Camisea’s
strategic importance for Peru (IDR: BBB+/Sta-
offshore Brazil ble) as it provides 85% of the country’s natural
gas supply, 40% of the effective power of the elec-
Shearwater GeoServices has been awarded a trical interconnected system (SEIN) and 92% of
five-month contract extension for CGG’s Brazil the country’s thermal power.
Nebula multi-client survey. Fitch Ratings, October 23 2020

P20 www. NEWSBASE .com Week 43 29•October•2020