U.S. oil company Kosmos Energy has made an oil discovery at its S-5 well offshore Equatorial Guinea, hitting 39 m of net oil play, the Ministry of Mines and Hydrocarbons said Nov. 3.
“We are very excited about the results of the S-5 well, the first well drilled in this ongoing exploration campaign,” oil minister Gabriel Obiang Lima said in a statement.
Lima’s ministry said the the well, located in the Santonian reservoir offshore in the Rio Muni Basin, was drilled to a depth of 4,400 m.
Equatorial Guinea, a small West African member of OPEC, derives more than 90% of its foreign revenues from its oil and gas industry and is hoping further exploration will help bolster dwindling reserves.
Shell also said Amberjack Pipeline Co. has signed a dedication and connection agreement with Chevron's Gulf of Mexico anchor project, which is expected to produce oil in 2024.
Companies added one oil rig in the week to Feb. 21, bringing the total count to 679, their highest since the week of Dec. 20, Baker Hughes Co. said in its weekly report on Feb. 21.
The success of Vaca Muerta is key for this South American nation that has failed for decades to break free of cyclical crises and is grappling with inflation above 50% and a $100-billion pile of sovereign debt.