A vast deposit of oil has been discovered in the sea off the coast of Suriname, with analysts saying that it will potentially create a significant economic opportunity for the South American country.
Houston-based Apache Corporation has disclosed through a statement that the oil deposit is huge and “significant” in size. Together with its European partner Total S.A., Apache will produce oil in the months to come.
The news of the discovery should have delighted the government in Suriname, a small South American country with less than 600,000 people.
The former Dutch colony is already producing oil, albeit on a small scale, with bauxite mining being its most prominent industries.
The area will soon be home to ‘prolific oil wells”, John Christmann, Apache chief executive, and president said in a statement.
“Additionally, the size of the stratigraphic feature, as defined by 3-D seismic imaging, suggests a substantial resource,” he added.
Both Apache and Total control 50% of the working interest in Block 58, which comprises approximately 1.4 million acres in water depths. As per their agreement, Apache will operate the first three exploration wells in the block and subsequently transfer operatorship to Total.
The news comes months barely after global oil giant ExxonMobil claimed to have discovered billions of barrels of oil off the coast of Guyana.