Malaysia's state-controlled energy producer Petronas has made another gas discovery at offshore Block 52 in Suriname, the South American country's President Jennifer Simons said on Tuesday, while a company executive said the block's eight discoveries contain more than 1 billion barrels of oil equivalent.
Suriname is seeking to follow neighbouring Guyana's transformation into a major oil producer through offshore developments led by international energy companies.
Petronas is expected to make a final investment decision this year to develop offshore natural gas reserves in Suriname after declaring its Sloanea discovery commercially viable in the same block. The company has also been exploring for oil.
"This is really good news for us," Simons said at an energy conference, without elaborating. It "sets the base for multiple oil and gas developments and a brighter future for Suriname," she added.
“To date, we have made eight successful exploration discoveries, unlocking over more than one billion barrels of oil equivalent, while continuing advancing lower-carbon solutions, safe operations and investment in people, technology and capability to create long-term value for the country," said Petronas COO Mohd Jukris Abdul Wahab during the conference, adding that Block 52 "sits within a highly prospective corridor, the Golden Lane, supported by strong regional analogues and sustained industry focus."
The first output from Suriname's offshore resources is on track to be inaugurated by a consortium led by TotalEnergies in 2028, Oil Minister Patrick Brunings told Reuters on the sidelines of the conference.
Suriname's state-run energy firm Staatsolie is offering an open-door licensing round covering over 70,000 square kilometers (27,027 square miles) across five offshore sectors. It allows companies to propose work programs and secure production-sharing contracts or joint study agreements to improve seismic data available.
"There are a few more surprises in store," Brunings said referring to exploration progress. "If we find a lot of gas, we can establish various industries, such as the bauxite industry and the petrochemical industry."
Following Guyana's emergence as a prominent oil producer with over 900,000 barrels per day (bpd), Suriname is also betting on offshore development to produce and export crude and gas through projects led by large foreign producers.
"We can also focus on gas exports," Brunings added. "The whole world is now looking for reliable gas suppliers, and we believe we can play that role very well."
(Reuters - Reporting by Ank Kuipers; writing by Marianna Parraga; Editing by Cynthia Osterman and Sanjeev Miglani)