Parex Resources Inc. has acquired a 50 percent working interest in four blocks in the Putumayo Basin and the Farallones Block in Colombia from Ecopetrol S.A. This strategic partnership aims to enhance production capabilities through advanced recovery methods and drilling initiatives. Parex is projected to achieve approximately 49,000 to 50,000 barrels of oil equivalent per day in FY 2024, reinforcing its position as a major player in Colombia’s oil sector.
Parex Resources Inc., which primarily focuses on operations in Colombia, has formalized an agreement with Ecopetrol S.A. to acquire a 50 percent working interest in four blocks situated in the Putumayo Basin and the Farallones Block within the Llanos Foothills. This strategic collaboration is expected to enhance Parex’s operational base, allowing the company to capitalize on existing oil reserves while exploring further development opportunities. The blocks acquired have shown a substantial recovery of over 350 million barrels of oil to date, with considerable potential for additional extraction through targeted drilling and technological advancements.
Additionally, Parex has committed to a comprehensive initial work plan with no upfront acquisition costs, reinforcing its low-risk strategy of development via infill drilling and enhanced oil recovery (EOR) methods. The company’s independent reserve evaluator has confirmed a total of 18 million barrels of proved plus probable reserves, further validating the viability of the acquired assets.
Furthermore, Parex’s assumption of operatorship over all future drilling activities, while allowing Ecopetrol to oversee current production, positions the company favorably in the region. With a planned initial focus on the Farallones exploration well, which lies in close proximity to the esteemed Cusiana oil field, Parex is bolstering its exploration efforts amid an anticipated FY 2024 production guidance of 49,000 to 50,000 barrels of oil equivalent per day. This acquisition not only enhances Parex’s footprint in the Llanos Foothills trend, recognized for its world-class exploration potential, but also strengthens its long-standing partnership with Ecopetrol.
This recent acquisition by Parex Resources is part of a strategic initiative to expand its holdings in Colombia’s rich oil reserves, particularly in the Putumayo Basin and Llanos Foothills. The company aims to navigate a landscape with significant production potential, having already recovered substantial volumes of oil through primary recovery techniques. The collaboration with Ecopetrol indicates a joint effort to explore promising areas and improve recovery rates through advanced drilling techniques and facility enhancements. The emphasis on low-risk drilling strategies aligns with Parex’s broader goals of sustaining production growth while managing operational risks. The extracted reserves and potential new sites will substantially influence Parex’s operational capabilities in fulfilling its production targets for the coming fiscal year.
In conclusion, Parex Resources Inc.’s recent acquisition of stakes in key Colombian oil blocks highlights the company’s commitment to expanding its operational footprint in a region with rich natural resources. By collaborating with Ecopetrol, Parex is poised to leverage significant recovery potential through technological enhancements and strategic drilling initiatives. This acquisition not only supports its production goals for FY 2024 but also strengthens its longstanding partnership with Ecopetrol, positioning Parex favorably within Colombia’s dynamic oil landscape.
Original Source: www.rigzone.com
