Exxon has today announced yet another oil discovery offshore Guyana and also revealed it is adding a third drillship to further accelerate its exploration programme.   The third drillship will operate on an exploration programme in parallel with the Stena Carron, while the Noble Bob Douglas will work on the development well drilling programme for Liza Phase I.

This latest discovery with the Longtail-1 well is Exxon’s eighth oil discovery offshore Guyana and opens up the possibility for additional resource development in the southeast area of the massive Stabroek Block.

According to a company press release today, ExxonMobil encountered approximately 256 feet (78 meters) of high-quality, oil-bearing sandstone reservoir. The well was safely drilled to 18,057 feet (5,504 meters) depth in 6,365 feet (1,940 meters) of water. The Stena Carron drillship commenced drilling on May 25, 2018.

Steve Greenlee, president of ExxonMobil Exploration Company stated that “The Longtail discovery is in close proximity to the Turbot discovery southeast of the Liza field. Longtail drilling results are under evaluation. However, the combined estimated recoverable resources of Turbot and Longtail will exceed 500 million barrels of oil equivalent, and will contribute to the evaluation of development options in this eastern portion of the block.”

The Liza project phase I is currently in execution, with the Bod Douglas drilling 17 wells, which will be connected to an FPSO, currently under construction in Singapore.  First oil is expected in early 2020. A second FPSO for Liza Phase II is currently in the advanced planning and approval stages. A third development, Payara, is planned to follow Liza Phase 2.

The Stabroek Block is 6.6 million acres (26,800 square kilometers). Esso Exploration and Production Guyana Limited is operator and holds 45 percent interest in the Stabroek Block. Hess Guyana Exploration Ltd. holds 30 percent interest and CNOOC Nexen Petroleum Guyana Limited holds 25 percent interest.

Comment