Page 13 - LatAmOil Week 48 2019

LatAmOil
NEWS IN BRIEF
LatAmOil
Highlights: Process initiated seeking to provide Bahamians with an opportunity to invest in the Company’s nationally significant project, via creation of a Bahamian-domiciled mutual fund that will exclusively hold BPC shares; environ- mental authorisation process and data collection proceeding to schedule, consistent with drilling timetable; environmental baseline survey com- menced, following timely receipt of necessary permits from the government of e Bahamas.
Simon Potter, CEO of Bahamas Petroleum Co., said: “As we continue to move toward drill- ing of an initial exploration well in e Bahamas in 2020, I am pleased to advise of two important in-country developments.
“First, BPC is seeking to assess the petroleum resources of e Bahamas, which in the event of a successful exploration campaign and thereaf- ter development, could be transformational to the economy of e Bahamas, by adding sig- ni cantly to the nation’s revenue base over and above that from more traditional sources. In 2016, the then Government established a frame- work in law for the establishment of a sovereign wealth fund, for the purpose of harnessing such revenues.
“Beyond this, however, we at BPC have long believed that Bahamians should be able to invest in the company, and, in this way, have a ‘direct ownership’ interest in their own national resource.
“We have therefore initiated a process seek- ing to create a Bahamas-domiciled mutual fund, which, in the event of its establishment, would provide a vehicle whereby individual Bahami- ans will have that opportunity to invest in BPC’s project of potentially national signi cance. We expect to be able to provide full details of this initiative in the coming weeks.
“Second, the timely receipt of requisite approvals from the government means we have been able to commence a critical piece of pre- paratory work ahead of drilling activities: the collection of a comprehensive range of samples necessary to demonstrate the current ambient conditions at the proposed drill site ... We remain on track to see drilling commence on schedule.” Bahamas Petroleum Co., November 28 2019
INVESTMENT
Fitch Ratings
confirms Ecopetrol’s
investment grade rating
Ecopetrol reports that the risk-rating agency Fitch Ratings has maintained the company’s credit rating at BBB with negative outlook, and its stand-alone rating (without incorporating
government support) at bbb.
In the press release, Fitch noted the strength
of Ecopetrol’s nancial pro le, due to the contin- uous improvement in its credit metrics in 2019. e agency also emphasized the company’s solid liquidity position, supported by its cash depos- its, positive cash ow generation, strong access to the capital markets and adequate debt maturity pro le.
e rating agency noted the improvement in reserves life in 2018 to 7.2 years, from 6.8 years in 2016, as a result of a reserves replacement ratio of 129%.
e rating agency also highlighted the com- pany’s close relationship with the Colombian government and its strategic importance for the country. e negative outlook is in line with the outlook for the Republic of Colombia (BBB/ negative).
Ecopetrol is Colombia’s largest rm and is an integrated oil company that is among the 50 largest in the world and the four largest in Latin America.
In addition to Colombia, where it generates over 60% of the country’s production, it is active in exploration and production in Brazil, Peru and the United States (Gulf of Mexico). Ecopet- rol operates the largest re nery in Colombia, most of the country’s oil-pipeline and polyduct network, and is signi cantly increasing its share of bio-fuels.
Ecopetrol, December 04 2019
Petrobras reports on
beginning of binding phase
in E&P assets
Petrobras, following up on the release dated on September 30, 2019, and October 15, 2019, reports on the beginning of the binding phase regarding the sale of its interests in eight onshore exploratory blocks located in the Recôncavo Basin.
Quali ed parties for this phase will receive
process letters with instructions on the divest- ment process, including guidelines for due dili- gence and submission of binding proposals.
e eight onshore exploration blocks com- prise the concessions REC-T-32_R12, REC- T-40_R12, REC-T-50_R12, REC-T-51_R12, REC-T-52_R12, REC-T-60_R12, REC-T-61_ R12 and REC-T-70_R12.
The blocks are located in an area with deployed infrastructure and a proven oil system, close to elds in production. Petrobras holds 100% interest in these eight concessions. O ers must be submitted by block.
Petrobras, December 03 2019
Petrobras discloses
E&P teaser in the
Sergipe-Alagoas Basin
Petrobras announces that it has started the opportunity disclosure stage, referring to the sale of its interest in the onshore elds of Dó-Ré-Mi and Rabo Branco, belonging to the BT-SEAL-13 Concession, located in the Sergipe-Alagoas Basin.
e teaser, which contains key information about the opportunity, as well as the eligibility criteria for selection of potential participants, is available on Petrobras’ website.
e main subsequent stages of the project will be reported to the market in due course.
e BT-SEAL-13 Concession was acquired in the ANP´s 7th Bidding Round in 2005. e Rabo Branco eld has been producing light oil since 2012, with an average daily oil production of 161 bpd in 2018. e Dó-Ré-Mi eld has two gas discovery wells, without commercial pro- duction yet. Both fields have full 3D seismic coverage.
Petrobras holds 50% of this concession in partnership with Petrogal Brasil, which is the operator and holds the remaining 50%.
Bids must be made by eld, separately.
Petrobras, December 02 2019
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