HRT ups Namibia offshore oil, gas estimates

by on November 23, 2012 2:44 am BST

Reuters reported the Rio de Janeiro-based company from a statement saying that it had 7.39 billion barrels of “mean potential prospective resources” in the blocks, according to an assessment made by US oil consulting group DeGolyer & MacNaughton (D&M) based on 3D seismic data.

The estimate is 6.6% greater than that in a previous D&M study, HRT said.

HRT said on 13 November that it had signed a contract to sell part of the Namibian assets to an unnamed company. The company planned to start drilling in the region in the first quarter of 2013 after the delivery of a Transocean oil rig.

None of the oil and gas in Namibia has been proven and if it exists, it will require significant exploration work before the company could consider declaring any oil or gas found commercially viable reserves, Reuters stated.

D&M estimated that about 5.1 billion barrels, or 69% of the potential Namibian resources, were oil and natural gas condensates and 2.28 billion barrels were natural gas.

When natural gas and oil resources from HRT assets in the Solimões basin in Brazil’s Amazon are added, the company has mean potential prospective resources of 7.8 billion barrels of oil equivalent, HRT said.

The Amazon assets are part owned by Anglo-Russian oil company TNK-BP.

HRT stock rose 7.22% to 5.20 reais ($2.47) in trading in Sao Paulo on Thursday before the estimates were announced.