Three Offshore Licenses to be Handed Over in January

Venezuela's energy and oil ministry will formally hand over three offshore exploration and production licenses in January, an official from one of the companies that won a license told BNamericas.

"What we have heard from the government is they will make the formal handover in January," said a company representative, who declined to be identified. The statement essentially confirms a report that appeared in Friday's edition of El Universal.

However, the company official declined to discuss another claim in the article, that the delay in handing over the licenses - originally planned for November 30 - was caused by a diplomatic ruckus between Venezuela and Colombia triggered by one of the blocks being to close to an area disputed by the two countries. The article goes on to say that the boundaries of the block in question (Castillete Noreste 2) could have been redrawn to avoid conflict.

An official said that a new date for the signing has not been fixed.

On November 15 the ministry announced that the Castillete Noreste 2 block went to Vinccler Oil & Gas, the Venezuelan unit of Canadian oil company PetroFalcon (TSX: PFC) for US$7.38mn. The Moruy 2 block went to a consortium made up of Brazilian federal energy company Petrobras (NYSE: PBR) and Japanese energy firm Teikoku for US$19.5mn. Italy's Eni and Spain's Repsol YPF (NYSE: REP) paid US$34.4mn for Cardón 4 block.

Vinccler Oil & Gas put out a press release on December 2 informing investors about the delay. A PetroFalcon official, who asked not to be identified, said the company has not been given a new date for the actual handing over of the license.

Although the three blocks awarded are said to be rich in natural gas, crude is also thought to be present in significant amounts, representatives from companies involved and Venezuelan government officials have told BNamericas.

About Business News Americas: Business News Americas is a multilingual news and business information service that covers the most important original stories in 11 different business sectors throughout Latin America everyday. Visit BNamericas to access our real-time news reports, 7-year archive, Fact File company database, and latest research reports.

Click here for a Free two week trial to our Latin America Oil & Gas information service.

Related Companies
 Company: Petrobrasmore info

 - Petrobras Sees Room For More Efficient Payroll, CAPEX (May 12)
 - Petrobras Eyes Adding Texas, African Assets to Asset Sale Plan (May 10)
 - Exxon, Petrobras Said to Hold Talks on Wide-Ranging Partnership (May 9)
 Company: ENImore info

 - Eni to Build Crude Oil Refinery in Nigeria -Oil Minister (May 9)
 - Eni Shuts Down Oil Center At Major Italy Field After Local Order (Apr 18)
 - Eni Paid No Intermediary, Bribes To Acquire Nigeria Oilfield (Apr 13)
 Company: Repsol more info
 - Repsol Sinopec Flows First Oil from North Sea Shaw Field (May 9)
 - Spain's Repsol Aims To Cut Debt By A Further 16% In 2017 (Feb 23)
 - Poll: US, Foreign Oil Companies to Prosper in Trump's USA (Nov 10)
 Company: Vinccler Oil and Gasmore info
 - ANH Pre-qualifies Companies for Ronda Caribe (Aug 28)
 - PetroCumarebo Eyes 2,500b/d, 566,000m3/d by Year-End (May 24)
 - Vinccler in Talks to Secure La Vela License (May 24)
 Company: PetroFalconmore info
 - PetroFalcon Denied Approval for Anadarko Venezuela Acquisition (Oct 9)
 - PetroFalcon Gets Closer to Lundin Purchase (Oct 18)
 - PetroFalcon Begins Natural Gas Deliveries from La Vela (Aug 29)
 Company: Teikoku Oilmore info
 - Petrobras: $535 Million In Ecuador Investments On Hold (Apr 8)
 - Teikoku Acquires 35% Stake in Block 31 Offshore Suriname (Aug 29)
 - Venezuela to Resume Offshore E&P Gas Licensing (Jan 25)

Our Privacy Pledge

Most Popular Articles

From the Career Center
Jobs that may interest you
Senior Proposals Specialist
Expertise: Business Development|Marketing|Sales
Location: Houston, TX
Principal Consultant
Expertise: Business Development
Location: Houston, TX
Chloride Sales Manager
Expertise: Business Development|Customer Service|Sales
Location: The Woodlands, TX
search for more jobs

Brent Crude Oil : $54.15/BBL 0.51%
Light Crude Oil : $51.47/BBL 1.45%
Natural Gas : $3.22/MMBtu 3.30%
Updated in last 24 hours