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    Chevron signs PSC for offshore Suriname block

Summary

TotalEnergies and Qatar Petroleum secured a contract for two other blocks off the South American country earlier this year.

by: Joseph Murphy

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Chevron signs PSC for offshore Suriname block

US major Chevron has signed a 30-year production-sharing contract (PSC) with Suriname's state oil company Staatsolie for an offshore block in the South American country.

The PSC covers Block 5. Chevron, TotalEnergies and Qatar Petroleum bid for blocks 5, 6 and 8 off Suriname earlier this year and QP and TotalEnergies secured a PSC for blocks 6 and 8 in June. Chevron now has an agreement for Block 5, Staatsolie said in a statement on October 14.

Chevron's PSC covers exploration, development and production rights over 30 years, and gives Staatsolie an option to obtain 40% of the project during the development phase.

"Staatsolie is excited to have been able to add another major player in the oil industry to its list of operators," the national oil company said in a statement. "These parties have resources and systems in place to maximise the opportunity for development."

Chevron paid a signing bonus of $30.9mn for the block, which spans 2,235 km2 of seabed under 100 m of water, some 120 km from Suriname's coast.