U.S. oil producer APA Corp said on Wednesday that it had found oil after drilling the Sapakara South-2 (SPS-2) appraisal well in Block 58, offshore Suriname.
Exploration off the South American country's coast has been watched closely as it is just over the border from massive oil discoveries made by an Exxon Mobil Corp-led consortium in Guyana that are estimated to hold nearly 11 billion barrels of oil equivalent.
The well is located about 4.6 kms south of the Sapakara South-1 (SPS-1) appraisal well, where APA found oil in 2021. The company had in November wound up drilling operations at the Awari well in Block 58 as it was "deemed noncommercial."
French energy major TotalEnergies SE TTEF.PA operates Block 58, with a 50% working interest, while APA holds the other half.
(Reuters - Reporting by Sourasis Bose in Bengaluru; Editing by Shailesh Kuber and Anil D'Silva)