Chaco Makes New Hydrocarbons Discovery

Bolivian oil firm Chaco has discovered hydrocarbons at the Carrasco well in its Bajo 1 block in Bolivia's Cochabamba department, government news service ABI quoted Chaco hydrocarbons exploration head Freddy Reynolds as saying.

Carrasco production is currently 800 barrels a day of liquids as well as 5 million cubic feet a day of natural gas, Reynolds told the news service.

The new well is rich in wet gas, from which 150-170b of liquids can be extracted per million cubic feet of gas, Reynolds said.

Investment in the well is expected to total US$8.5mn, according to the news service.

Drilling began October 25 of last year and reached a total depth of 3,895m, at which point the zone was determined to have sand saturated with hydrocarbons with a thickness of 80 meters.

Production from the well is currently processed at the Carrasco plant, but Chaco is conducting works eventually to process hydrocarbons at the new Kanata plant.

Reynolds also said the new field will be beneficial to Cochabamba through revenue derived from royalties and taxes, the news service reported.

A Chaco spokesperson declined to comment when contacted by BNamericas, but said the company planned to issue a press release by January 12.

Chaco is owned by Anglo-Argentine oil firm PanAmerican Energy.

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