Westmount Energy agrees to increase stake in Cateleya Energy

30 August 2019 (Last Updated September 3rd, 2019 08:14)

Westmount Energy has agreed to acquire further shares in Guyana-focused explorer Cateleya Energy Corportaion (CEC) for around $3.1m (£2.6m).

Westmount Energy agrees to increase stake in Cateleya Energy
Westmount Energy agrees to make additional investment in Cataleya Energy. Credit: rawpixel / Pixabay.

Westmount Energy has agreed to acquire further shares in Guyana-focused explorer Cateleya Energy Corportaion (CEC) for around $3.1m (£2.6m).

Established in 2015, Cateleya Energy is a private, Canadian-registered company focused on oil exploration opportunities in the Guyana-Suriname Basin. The company’s main asset is a 25% participating interest in the 13,500km² Kaieteur block, which is situated outboard of, and adjacent to, the Ranger oil discovery located on the Stabroek Block, offshore Guyana.

In early 2015, the Kaieteur Block was awarded to Cataleya Energy Limited (CEL) and Ratio Guyana, a subsidiary of Ratio Petroleum Energy Limited Partnership (Ratio Petroleum).

ExxonMobil subsidiary, Esso Production & Exploration Guyana, is operating the block with a 35% interest. CEL and Ratio Guyana each own 25% stake in the block, while a subsidiary of Hess Corporation holds a 15% interest.

Since 2015, ExxonMobil and its Stabroek block partners have reported discovered recoverable resources of over six billion oil-equivalent barrels and 13 successes out of 15 exploration wells in the Guyana-Suriname Basin.

Westmount said that the existing portfolio of investments in the basin will allow it to have exposure to between four and seven funded wells during 2019-2020.

Westmount Energy chairman Gerard Walsh said: “The recent announcement, by the Orinduik partners, of the Jethro-1 Oil Discovery, the first well in Westmount’s drilling portfolio, confirms the potential for additional substantial discoveries outside of the Stabroek Block and we look forwards to the outcome of the other potentially 6 wells in Westmount’s drilling portfolio over the coming months, including the Tanager-1 well in 2020.”