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Oil and gas exploration company Bahamas Petroleum Company said the drilling of its first well would get underway between 15 December 2020 and 1 February 2021, after it agreed a contract with Stena Drilling for a drilling rig.
The company said the estimated total cost of its first exploration well, Perseverance #1, was reduced by approximately 15%, based on the 'contracted rig rate and rates for other contracted services and equipment, reflecting changes to the global operating environment.'
Perseverance #1 well was targeting recoverable oil resources 0.77 billion barrels, with an upside of 1.44bn barrels. The reduced cost estimate created scope for expanded formation evaluation work in the success case, without increasing previous estimated total capital requirement, it added.
Exploration of the well had suffered setbacks as the coronavirus pandemic halted activity, forcing the company to delay the commencement of the project.
'In March 2020, we were within weeks of commencing the drilling of our Perseverance #1 well when we were compelled to defer our planned drilling programme due to the impacts of the Covid-19 pandemic,' the company said.
'Immediately we undertook a range of activities necessary to reschedule activity toward the end of 2020 and into the first quarter of 2021, consistent with our licence obligations (as extended for the declared force majeure event), by which time we expect the worst of the broad suite of impacts of the pandemic to be behind us,' it added.