While final costs and “further well operations” reportedly remain to be worked out, the French company TotalEnergies has announced that it will commence drilling and exploration well on Suriname’s Block 64 in May. The announcement regarding a timeline for the commencement of drilling marks a modest but important step in the overall process of Suriname joining Guyana in the global group of oil- producing countries. The disclosure regarding a timeline for drilling was made by Total’s Country Manager Artur Nunes da Silva.
In the course of making the announcement Nunes Da Silva reportedly stated that final costs and further well operations were still being organized. TotalEnergies’ $10.5 billion project with APA Corp was green-lit earlier this year, a development which provided confirmation that Suri-name was on the threshold of becoming part of South America’s growing ‘petro family’. Based on the current pace of progress, Suriname’s drilling operations are expected to yield ‘first oil’ in 2028.
The transforming of two of South America’s poorest countries into potential petro giants is one of the most significant occurrences in the recent history of region and the two countries’ now globally confirmed petro profiles is likely to draw further critical global attention to South America as a whole.
As was the case following ExxonMobil’s confirmed oil discovery in 2015, Suriname’s subsequent oil ‘shout’ has also attracted significant potential investor attention, both within and without the global oil and gas community, with external interest in the country creating interest in the establishment of bilateral links in areas that go beyond the oil and gas industry, extending into other areas of bilateral and multilateral collaborations that target initiatives linked to the objective of affording the country a comprehensive socio-economic overhaul.
Late last year, Suriname’s President Chandrikapersad Santokhi told an international gathering staged to draw attention to the investment prospects which the country’s world class find had opened up that Suriname would be deploying its new-found oil wealth not just to significantly shore up its existing economic structures but also to diversify into other sectors of the country’s economy in order to meaningfully enhance the other sectors of the country’s economy.
“We are committed to diversifying our economy beyond oil, agriculture, tourism and technology will play a critical role in ensuring long term economic stability. This diversification will make our economy more resilient and create new opportunities for innovation and investment… I invite international businesses to seize the opportunities presented at this conference and explore strategic partnership with local companies,” President Santohki is quoted as having told attendees at the Investors Conference.
Not unsurprisingly, two major oil discoveries in the neighbouring South American republics have given rise to discourses at the levels of both the public and private sectors on possible areas of cooperation in areas that are seen as critical to the development of the two countries, going forward.