Over the first three months of this year, CGX Energy invested some US $1.6 million (or GY $334.8 million) to advance the development of the Berbice Deep water port located near the mouth of the Berbice River.
This is according to the first quarter financial report of the Canadian-based firm Frontera Energy, which is the majority owner of CGX Energy. The two companies are co-venture partners in the Corentyne Block offshore Guyana.
This deep water port is set to provide hundreds of jobs to Guyanese and help boost economic activity in Region Six (East Berbice- Corentyne).
And the money spent to develop this port marks an increase of US$1.2 million spent compared to the same first quarter period in 2021.
Last year, after years of exploration, Frontera and CGX discovered some hydrocarbon presence (oil reserves) at the Kawa-1 exploration well in Guyana’s Corentyne Block.
And according to the financial report, Frontera executed US$113.5 million in capital expenditures in the first quarter primarily in support of exploration activity at the Kawa-1 exploration well offshore Guyana.
Of that amount, US$51.9 million was spent on exploration in Guyana.
The Kawa-1 well was drilled to a total depth of 21,578 feet (6,577 metres). Drilling results confirmed the presence of an active hydrocarbon system at the Kawa-1 location. A complete analysis of the drilling is not yet complete, but the well has been plugged and abandoned.
The company is now expected to drill for oil at a nearby Wei- 1 well.
Meanwhile, some of the US $113.5 sum was also spent on the discovery of light and medium crude oil in the Jandaya-1 and Tui-1 exploration wells in Ecuador, and development drilling which contributed to six per cent production increase in the Company’s base Colombia operations compared with fourth quarter 2021.
