First well in Canje Block for ExxonMobil not commercial

ExxonMobil’s first well in the Canje Block – Bulletwood-1 – has failed to produce oil in commercial quantities, according to reports coming out of the company.

The Bulletwood – 1 Well commenced supping in January 2021, renewed hope and expectations of a working hydrocarbon system being found outside of Stabroek Block containing commercial volumes of good quality crude.

The company reported on Thursday that this was not the case, the spudding has instead confirmed the company’s seismic interpretation of the geology and shown evidence of non-commercial hydrocarbons.

“Geologic risk is inherent to frontier oil and gas exploration activities. Every well in frontier oil and gas exploration provides invaluable data to inform future activities,” the company said in a statement.

ExxonMobil’s exploration success in Guyana is 80 per cent with 18 discoveries on the Stabroek block.

The company said it will continue to leverage its deep-water expertise and advanced technology to explore frontier environments with the highest value resource potential.

Back in 2020, a similar attempt was made by ExxonMobil at the Kaieteur block. The Tanager-1 well turned out to be non-commercial as a stand-alone development.

This comes as the 6.6 million acres Stabroek block has been proven to have a working hydrocarbon system across different play types, delivering upwards of nine billion barrels of oil equivalent since 2015.