Page 14 - LatAmOil Week 47 2021

LatAmOil NEWS IN BRIEF LatAmOil

final signature in mid-December 2021.
UPSTREAM There is strong evidence of a hydrocarbon
system in Jamaica, including source, reservoir,
Trinity Exploration receives and seal rocks. An independent evaluation by
Gaffney Cline & Associates, as announced by
approval for Galeota FDP the Company in December 2020, of 11 high
graded leads and prospects indicated the poten-
Trinity Exploration & Production has received tial for a combined estimated 2.4bn barrels
approval for the Field Development Plan (FDP) mean prospective resources. United started a
for the Galeota Asset Development (GAD) Pro- formal farm-out process for the Walton Morant
ject from the Ministry of Energy and Energy updated as the farm-down process progresses. Licence earlier this year. The Company is seek-
Industries (MEEI). The comprehensive and Jeremy Bridglalsingh, CEO, commented: ing a strategic drilling partner(s) with a view to
relatively quick approval by the MEEI review “We would like to thank the MEEI for their drilling the primary 3D seismic defined Colibri
team, against the background of the pandemic, comprehensive and speedy response to our FDP prospect, which is estimated to hold mean pro-
is extremely helpful and provides a suitably submission. Their approval is a critical milestone spective resources of 406mn barrels.
matured development concept which can be as we move towards a Final Investment Decision United holds and operates a 100% equity
reviewed by potential funding partners as part (FID). The next milestone on the critical path is interest in the Walton Morant Licence, Jamaica.
of the farm-down process. to commence the farm-down process in early Brian Larkin, CEO, commented: “We are
The FDP is focused on the Phase 1 devel- December. The Competent Person’s Report will delighted to have received approval for the two-
opment of the Galeota licence, which has the be finalised in advance of this process, and will year licence extension in Jamaica. United has
potential to add additional peak production of form a key assurance document within our Data done extensive technical work on this asset,
circa 4,000 bpd on the submitted development Room. We are pleased by the feedback from the which has over 2.4bn barrels of unrisked oil
concept. More recent dynamic modelling has MEEI as to the quality of the FDP submitted and potential and the basin-opening Colibri pros-
indicated that intra-year peak production could are encouraged by their view to consider increas- pect at a drill-ready stage. The extension allows
be significantly higher, at up to 7,000 bpd. ing the facility size to increase the recoverable us to continue the farm-out campaign with
As previously stated, the FDP development reserves. confidence as we look for a strategic partner(s)
concept comprises the installation of a low cost “We are continuing to work assiduously on a to unlock the vast potential in this region. The
eight well conductor supported platform (Echo), number of fronts as we move towards FID at the support and encouragement of the Government
a new pipeline from Echo to shore, with the earliest opportunity and are extremely excited of Jamaica has been excellent and reflects our
existing Trintes platforms tied in, and T sections by the potential of this development. We believe strong relationship and the positive outlook for
installed for the potential development of TGAL that the quality of the asset and project maturity, the industry in Jamaica. With the licence exten-
NE (Foxtrot) and Trintes SW (Golf) areas in the the potential for meaningful fiscal incentives for sion, the outlook for higher commodity prices,
future. The contingent resources estimated to be the sector and the applicability of a significant sentiment for exploration and anticipated recov-
developed as part of the Echo development con- proportion of our tax losses to Galeota make it a ery of the investment cycle we look forward to
cept are facilities constrained, due to large vol- highly attractive opportunity. pursuing this significant opportunity in the
ume of oil initially in place, so – in parallel with “Furthermore, the agreement of a new 25 region for the benefit of all stakeholders.”
progressing the farm down – Trinity is working year Licence earlier this year, and the associated United Oil & Gas, November 24 2021
on both a 10- and 12-well slot platform develop- improvement in the commercial terms govern-
ment solution. ing Galeota, were crucial milestones that should
It is expected that Echo would be powered further enable Trinity to attract funding part- MIDSTREAM
from shore with tiebacks to the existing Trintes ners as part of a farm-down process and move
platforms. As there is no offshore power gener- towards a FID.” Petrobras to lease
ation planned (i.e. no diesel and no generators), Trinity Exploration & Production, November 25
and given that the platforms will be unmanned, 2021 maritime terminal
the development would have a nominal carbon
footprint when compared to standard offshore United Oil & Gas wins at Porto de Santos
developments.
It is also worth noting that a large proportion two-year extension for Petrobras informs that it won the bidding for
of Trinity’s total tax loss position (circa $165mn the leasing of the port facility for storage and
of $237mn as at year-end 2020) can be applied the Walton Morant licence handling of fuels, called STS08A in the Porto
to the Galeota field development, which further de Santos, held by the National Agency for
underpins its economics. offshore Jamaica Waterway Transportation (ANTAQ) this Fri-
The Company’s focus in relation to the Gale- day, November 19, in São Paulo. The company
ota asset development, during the remainder AIM-listed United Oil & Gas has announced offered BRL558mn for the area and is awaiting
of Q4-2021, will be to work with its adviser to that the request for a two-year extension for the approval of the auction results to sign the lease
commence a formal marketing process for a Walton Morant Licence, offshore Jamaica, has contract for a 25-year period.
farm-down which encompasses the current been granted by the Jamaican Cabinet. Petrobras, through its subsidiary Transpetro,
Trintes Field production, the Echo Field Devel- Following completion of the approval pro- is the current lessee of the Santos Terminal and,
opment and the Foxtrot and Golf appraisal areas. cess, the licence will run to January 31, 2024. An with the result of the bidding, ensures the conti-
The process is expected to commence during amendment to the Production-Sharing Agree- nuity of its logistics through this important asset
December with a duration of approximately ment (PSA) will be submitted to the Ministry for the outflow and transfer of oil products pro-
six to nine months. We will keep the market of Science, Energy and Technology (MSET) for duced at its refineries located in São Paulo.

P14 www. NEWSBASE .com Week 47 25•November•2021