Defeat for Statoil in Angola – Aftenbladet.no

Defeat for Statoil in Angola – Aftenbladet.no

The reason that Statoil takes break in oil exploration in the Kwanza Basin, offshore Angola are poor exploration results. The two wells, numbers 38 and 39 are plugged and abandoned.

2.37 billion

The cost of canceling operations, including contract for the drilling rig Stena Carron will charge accounts for 4th quarter of 2.37 billion.

The writing group in a statement.

Statoil states that the plan for 2014 for organic exploration expenditures of $ 3.5 billion, including Jacaré , is fixed.

Print the values ​​

In addition, the expectations of an impairment of the signature bonus in block 38.

The award of blocks in Angola achieved by companies offering signature bonuses, ie how much money they will pay to look in the relevant areas. It is, according to Statoil is a widely used and legally accepted business practice in many countries, including the United States.

Signature Bonus gives the host countries an opportunity to fast income from the planned investment, while the amounts bys, gives an indication of the potential the blocks.

The first well results from the area have been disappointing, and although Statoil sees remaining prospectivity in the basin and in the group blocks, so there is a need for more time to evaluate the well results and mature new projects before a decision is made regarding future activity.

Plugged and abandoned

The first two pre-salt wells with Statoil as operator, Dilolo and Jacaré, was drilled safely and very effectively. These two wells fulfilled the obligations of these two blocks. Jacaré well in block 38 increases now be plugged and abandoned.

We participate in eight commitment wells in a total of five blocks in the Kwanza Basin. To date, four wells were completed, while drilling a well in progress in Block 40, where Total is the operator.