MARC C.H. WAALDIJK Managing Director of Staatsolie

State-owned oil company sets up offshore exploration deals and aims to boost production onshore

EXPLORATION for oil is being stepped up, fueled by U.S. Geological Survey findings indicating that the Suriname-Guyana Basin could contain approximately 15 billion barrels of crude.

Repsol of Spain, Denmark’s Maersk Oil, and Occidental of the United States have already signed deals with state-owned Staatsolie and are already active in the country. International bids to explore three more offshore blocks are currently being assessed.

Australia’s Hardman Resources in April acquired a 40 percent interest in two large onshore concessions directly adjacent to the main oil producing fields operated by Staatsolie.

The state company itself aims to increase recoverable reserves from 85 million barrels to 115 million barrels by 2010. Daily crude production will be raised from the current 12,000 barrels per day (bpd) to at least 15,000 bpd.

Marc C.H.Waaldijk, Staatsolie’s Managing Director, says, “Furthermore it is a very rare crude oil, heavy but very sweet, and only 4 percent of the world production has this quality.”

Staatsolie’s total investments in its onshore operation for the period 2005-2010 are estimated at US$360 million.