Exxon Gets Green Light for Ultra-Deepwater Seismic Exploration

• The Environmental Management Authority (EMA) issued a Certificate of Environmental Clearance (CEC) to Exxon-Mobil Trinidad and Tobago Deepwater Ltd (ExxonMobil) for the conduct of a three-dimensional seismic survey with a total area of 8,825 square kilometres within Block TTUD-1, located off Trinidad's east coast. This now opens the door for ultra-deepwater exploration, which could aid in facilitating the reshaping of Trinidad and Tobago's (T&T) economic future.
• Prime Minister Kamla Persad-Bissessar announced ExxonMobil's return in September after more than 20 years and noted that the company could invest up to US$21.7Bn in T&T over the coming years if hydrocarbons were to be discovered offshore. That said, TTUD-1, a combination of seven blocks east of T&T, is set to cost Exxon US$42.5Mn (TT$288Mn) in the first phase. Per the block’s product-sharing contract, development cost is estimated at between US$16.4Bn and US$21.7Bn.
• ExxonMobil’s agreement covers the drilling of two exploration wells, with one well in each of the optional second and third phases of the exploration period. The company also agreed to administrative charges, minimum payment, training contributions, research and development contributions, technical assistance, equipment bonus, and scholarships.
• The approval marks a significant milestone, being the first issued by CEC for activities related to the exploration for hydrocarbon resources within the ultra-deepwater marine area, and is the second CEC approval issued for the offshore exploration for oil and gas under the newly appointed board of directors. Furthermore, the approval was granted well within the EMA's statutory timeframe, underscoring the Authority's commitment to efficient, transparent, and timely decision-making processes according to the Planning Ministry.

(Source: Trinidad Express Newspaper)