American multinational oil and gas major ExxonMobil has made its 18th discovery offshore Guyana at the Redtail-1 exploration well.
The Redtail exploration well is located 1.25 miles north-west of Yellowtail discovery.
According to ExxonMobil, the well encountered 232ft of high-quality oil-bearing sandstone and was drilled to a depth of 6,164ft in water.
Besides the Redtail-1 discovery, drilling at Yellowtail-2 encountered 69ft of net pay in high-quality oil-bearing reservoirs among the original discovery intervals of Yellowtail-1.
The oil and gas firm noted that the Redtail-1 well will add to the previously announced estimated recoverable resource of more than eight billion barrels of oil equivalent (Bboe) on the Stabroek block.
ExxonMobil exploration and new ventures senior vice-president Mike Cousins said: “Our Stabroek Block exploration program continues to identify high-quality reservoirs in close proximity to previous discoveries, establishing efficient opportunities for new projects in Guyana.
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“Developing these projects remains an integral part of ExxonMobil and our co-venturers’ long-term growth plans and a source of significant value for Guyana.”
In 2015, ExxonMobil made its first commercial discovery in Guyana.
The company started production in December 2019 from the Liza Destiny floating production and offloading vessel (FPSO), which can produce up to 120,000bpd.
Earlier this month, ExxonMobil reportedly started assessing possible job cuts across its global operations after the company has announced voluntary layoffs in Australia as part of cost cuts due to a historic crash in fuel demand as a result of the Covid-19 pandemic.
In March, ExxonMobil awarded a contract to subsea technology and data company Ocean Infinity for the supply of autonomous underwater vehicles (AUVs) to the Stabroek block.