South America
In South America, Tullow has interests in the prospective Guyana Basin in three adjacent countries, Guyana, Suriname and French Guiana. This basin offers exciting frontier exploration opportunities including geological plays analogous to the Jubilee field across the Atlantic.
French Guiana
Tullow’s drilling success in the West African Transform Margin region led to a complete re-evaluation of the deepwater acreage in French Guiana during 2008 where Tullow has a 97.5% interest in the extensive (35,200 sq km) Guyane Maritime licence. In addition to the potential billion barrel Matamata prospect, mapped in the northwestern part of the block, a number of high-impact, high-risk leads have been identified in the southeast, analogous to Tullow’s Jubilee field offshore Ghana. Tullow is now planning to acquire an extensive 3D seismic survey in the southeastern portion of the block in order to advance a number of known leads to drillable prospect stage. A drilling campaign would then follow in 2010 or 2011. Tullow plans to commence a farmout programme during the first half of 2009 to reduce its capital exposure to this forthcoming programme.
Guyana
In November 2008, Tullow enhanced its South American portfolio through the acquisition of a 30% interest in the Georgetown Block offshore Guyana, from the YPF Group. The block covers 11,100 sq km, in water depths of 50 to 200 metres, with geological characteristics similar to French Guiana and the proven basins on the other side of the Atlantic. A 1,880 sq km 3D seismic survey was acquired during the fourth quarter of 2008 and the focus for 2009 will be the interpretation and integration of this new data with the objective of identifying exploration targets for drilling in 2010.
Suriname
In Suriname, Tullow has interests in the onshore Uitkijk and Coronie blocks which lie adjacent to the Tambaredjo field, the country’s main producing heavy oil field. The 2008 drilling programme commenced in December with five shallow wells drilled in the Uitkijk licence. The results are currently being reviewed and integrated into the regional database. The Uitkijk drilling programme will be followed by a five-well exploration programme on the Coronie block in early 2009.
Trinidad and Tobago
Extensive negotiations were held in 2008 in an attempt to conclude the Production Sharing Contract (PSC) agreements on Block 2ab and the Guayaguayare block in Trinidad and Tobago. Unfortunately, an acceptable commercial solution was not reached and a decision was taken to withdraw from both licences at the end of the year.
