Suriname Oil Discoveries Hit 2.4 Billion Barrels

Crude oil discoveries in Suriname have opened access to some 2.4 billion barrels in reserves, Wood Mackenzie analysts have estimated. The consultancy also reported the South American nation holds some 12.5 trillion cubic feet in natural gas reserves.

The project closest to commercial production is a discovery made by Petronas with its partner Exxon in two Suriname blocks. According to Wood Mackenzie, production there could begin at a daily processing rate of 100,000 barrels.

There are also other discoveries in the country that were made by TotalEnergies and APA Corp that are moving towards sanctioning. TotalEnergies is expected to make the final investment decision on its project, in Block 58, by the end of this year, eyeing the start of production in 2028.

Suriname is often seen as a candidate for a repeat of Guyana’s oil boom since the two neighboring countries share one hydrocarbon basin. However, exploration efforts have taken longer in Suriname and the colossal success of Exxon with the Stabroek Block and its dozen discoveries has yet to be replicated in Guyana’s neighbor.

Petronas and Exxon specifically reported unsatisfactory results from a drilling project in Block 52 a couple of years ago. This week, however, the two struck oil in the same block, reviving hopes of an oil and gas boom in Suriname. The size of the discovery has yet to be determined but it would be the third one in the block. In total, Petronas and Exxon have tapped some 400 million barrels in reserves.

A total of nine offshore discoveries have been made in Suriname in the last six years but commercial development of any of them is still in the future. The government is eager to jumpstart its oil and gas industry and has already granted tax incentives to Petronas and Exxon for the development of their Block 52 project.