Asia > Eastern Asia > Japan > Japanese oil company to explore Uruguayan offshore platform

Japan: Japanese oil company to explore Uruguayan offshore platform

2013/05/31

In statements to El Observador, ANCAP’s exploration and production manager Hector Santa Ana stated that both companies have by presently drafted a farm out (transfer of rights) for ANCAP’s approval.

Santa Ana said that this type of transaction (the sale of part of the blocks) was within the possibilities outlined in the arrangement the Uruguayan National signed with the four companies operating the eight blocks of the Uruguay Ronda II, albeit within certain limits. Each company may divest up to a maximum of 30% of its stake in the block, but cannot forsake its major operator status in its assigned area.

The Uruguayan offshore platform continues to advance its world positioning and increase its economic price as the Irish firm Tullow Oil, which is currently conducting exploration work in Block 15 of the Uruguayan offshore platform, sold 30% of its stake in its exploration arrangement to leading Japanese oil company Inpex.

“This kind of news is positive for the entire offshore Uruguay basin. Today Tullow is selling its 30% stake at a higher price than its original bid for this block,” said Santa Anta. He said that only formal ANCAP approval is pending as there are no technical or financial objections. Inpex is the leading oil company in Japan, and is one of the top 100 major companies in its sector. Santa Ana stressed that the participation of the Japanese company is positive because it “dilutes” the risk and ensures additional “financial support” to meet the scheduled exploration studies.

Proposal
ANCAP has received a proposition from one of the world's leading oil companies to take up the place left vacant by Brazil's Petrobras, which today has 40% interest in Blocks 3 and 4 of the Uruguayan offshore platform, a move within the in general strategy outlined by Petrobras management. Santa Ana declined to identify the company until the official proposition is not tendered to the board.
Additional than U.S. $ 500 million

A year into the exploration of the eight offshore platform blocks has seen in excess of U.S. $ 500 invested by BG, BP, Total and Tullow Oil, out of the $ 1,562 million agreed. Some companies have carried out 75% of its various 2D and 3D seismic surveys at the different blocks awarded.

Related Articles
  • Fuel removal device installed at meltdown-hit Fukushima reactor

    2017/11/13 The plant's operator, Tokyo Electric Power Co (TEPCO), says it started putting a crane on the roof of unit No. 3 on Sunday to extract a total of 566 rods from its fuel pool. Workers at Japan's crippled Fukushima Daiichi nuclear power plant have installed a device to remove nuclear fuel from a meltdown-hit reactor nearly seven years next the crisis was sparked by a tsunami, a spokesman said Monday, November 13.
  • Abe’s revived mandate needs to deliver a foreign policy checkmate

    2017/11/04 Next Japanese Prime Minister Shinzo Abe’s landslide electoral victory, it is time to go back to work, and foreign policy is not an area where Abe can afford complacency. His success depends on maintaining a stable power base through successful domestic policy, but at this point in time it seems reasonable to expect that he will serve his full nine-year tenure as LDP President and prime minister until September 2021. On foreign and security policy there are three vital issues to consider: North Korea, Russia and China.
  • Saudi Arabia’s Footprints in Southeast Asia

    2017/11/02 At the same time as King Salman bin Abdulaziz Al-Saud of Saudi Arabia embarked on a month-long trip to Asia in February this year, Western media outlets led with incredulous stories about the monarch’s large entourage and their mountain of luggage. Traditionally obsessed with the desert kingdom’s human rights record and the national-sponsored brand of Islam, those same outlets took delight in touting the trip as a sign of Saudi economic weakness.
  • A Stronger Australia in Southeast Asia?

    2017/11/02 Early next year, Sydney will play host to a appropriate summit between Australia and the members of the Association of Southeast Asian Nations (ASEAN), which is commemorating its 50th anniversary this year. But as we approach that conference, questions remain about what role Canberra should really play in Southeast Asia amid concerning developments within the subregion, vexing security issues in Asia additional broadly, and uncertainty over the role of other powers inclunding the United States. Australia’s position and standing as a wealthy, Western-oriented country in the region, one would think, would give it an chance at the negotiating table where critical issues like North Korea and a potential conflict in the South China Sea will dictate the broader schedule. And some analysts continue to argue that the Australian government should take a additional proactive stance with ASEAN, which is facing difficult times as individual members take unilateral action to silence dissent, upsetting civil rights groups and a lot of in the West.