Exxon Starts Drilling Offshore west africa

Exxon Starts Drilling Offshore west africa

ExxonMobil Exploration and Production liberia limited, an affiliate of ExxonMobil (NYSE:XOM), has started drilling a deepwater exploration well offshore west africa {in a|during a|in an exceedingly|in a very} 1st for an Exxon-operated well offshore of liberia, Exxon’s partner within the project, Canadian Overseas petroleum limited, said on weekday.

The Canadian company owns a 17-percent operating interest within the Block LB-13 offshore liberia, whereas ExxonMobil is that the operator with a working interest of 83 %.

Back in 2013, once Exxon received Liberia’s government approval for exploration, the U.S. company said: “We appreciate the vote of confidence from the government of liberia in our capability to help develop the nation’s hydrocarbon resources.”

Last month, Exxon – whose E&P earnings are feeling the oil value crash for the past 2 years – said that it had been able to begin drilling offshore liberia this month.

Exxon’s venture into liberian offshore drilling coincides with the withdrawal from Liberia of independent oil and gas exploration company African petroleum. the company said that its production sharing contracts (PSCs) for 2 blocks offshore liberia have expired  and wouldn't be extended. African petroleum has been looking for partners for the PSCs, however has received very little interest because of the difficult market conditions for exploration and also the lack of commercial discoveries in liberia, the company noted.

According to the U.S. geological Survey, the West African Coastal Province – comprising the coasts on sierra leone, liberia and ivory coast - is estimated to carry mean volumes of 3.2 billion barrels of oil, 23.629 trillion cubic feet of gas, and 721 million barrels of natural gas liquids. The estimated mean size of the largest oil field expected to be discovered is 783 million barrels of oil, whereas the estimated mean size of the expected largest gas field is 4.695 trillion cubic feet of gas.