Falkland Oil Driller to Press on Despite Argentina Legal Threat
LONDON, June 5 (Reuters) - Falkland Oil and Gas plans to continue drilling into next year, its chief executive said, defying legal threats made by the Argentine government against oil explorers in the Falkland Islands.
A group of oil drillers, which also include Premier Oil, Edison, Noble and Rockhopper, resumed their Falkland Islands exploration campaign in March and have made a series of successful finds since.
However, their drilling work has angered Argentina, which continues to dispute the sovereignty of the islands and launched a domestic court case in April against executives of the companies involved.
"I can't go to Argentina and nearby countries. But operationally, this has no effect," Tim Bushell, Falkland Oil and Gas chief executive, said.
The companies are continuing their 2015 exploration campaign as planned and are counting on hiring a drilling rig at lower rates to expand their plans into next year.
"We'll negotiate a lower rate with the rig and other services. We conservatively expect to get a 20-25 percent reduction," he told Reuters.
The group has currently contracted the Eirik Haude drilling rig for a six-well drilling campaign that is expected to end around October.
(Reporting by Karolin Schaps, editing by William Hardy)
WHAT DO YOU THINK?
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.
Manages 28 Offshore Rigs
- Sembcorp Marine Delivers World's Largest Jackup Noble Lloyd Noble (Jul 18)
- Oil Industry Maintains Country Club Culture During Downturn (May 23)
- Freeport to Pay Noble $540 Million to Not Use 2 Oil Rigs (May 10)
Company: Premier Oil more info
Operates 3 Offshore Rigs
- European Oil Producers' Weak Hedging Shows Bet on Price Rebound (Jul 31)
- Mexico Oil Privatization Pays Off With Billion-Barrel Find (Jul 12)
- Premier Oil Expects Weak Pound To Help Bottom Line (Jan 12)
Company: Falkland Oil & Gas more info
- Falkland Explorers Confirm Oil Discovery with Isobel Re-Drill (Jan 11)
- Premier Spuds Isobel-2 Well in North Falkland Basin (Nov 23)
- Sound Oil Makes Board Changes (Sep 28)
Company: Rockhopper Exploration more info
- ERCE: Sea Lion Complex Could Hold 1.7B Barrels of Oil (May 17)
- Beach Energy Updates on Sale of its Egyptian Subsidiary to Rockhopper (Apr 18)
- Subsea 7, National Oilwell Varco Secure Sea Lion FEED Contracts (Feb 11)