Eco Atlantic O&G announces oil discovery at Orinduik Block

Today the oil and gas exploration and production company Eco Atlantic Oil and Gas Ltd (AIM: ECO) announced a ‘significant’ oil discovery on the Orinduik Block, offshore Guyana.

The Company said that the Jethro-1 exploration well was drilled to a depth of 4,400 metres in approximately 1,350 metres of water, by the Stena Forth drillship. Jethro-1 is the first discovery on the Orinduik licence; the Group encountered 55 metres of net high-quality oil pay in lower Tertiary sandstone reservoir.

Eco Atlantic said the well has been cased and is awaiting further evaluation to determine appropriate appraisal activity.

Eco Atlantic Oil and Gas comments

Gil Holzman, CEO and Co-Founder of the Company, stated,

“We are thrilled to report this exceptionally exciting discovery. This is a revolutionary moment for Eco. It has been a long path of hard work for our team, and with today’s announcement we feel our first rewards have justified our journey. We have been very confident in the prospects of the Orinduik since we first decided to make a licence application in February 2014, based on a strong recommendation from our team at Kinley Exploration.”

“I always believed that Eco would create exceptional stakeholder value, for our shareholders, and the people of Guyana alike, and I am so proud that we have made this exciting discovery.”

“This is a transformational event for the Company, and we now need to strategically plan for an even brighter future. With multiple targets to consider, and Joe as the next prospect to be drilled, we will now pursue our evaluation of the timing for wells to develop the Jethro field and to expediently bring it on production. We are funded for at least six additional wells.”

“I want to thank the small but amazing team at Eco, the Board of Directors of Eco Atlantic, our extremely professional partners in Tullow and Total, our investors and shareholders, and the Government of Guyana for their support to date and hopefully into the future as we continue to strive to generate value for all of our supporters and partners.”

Investor notes

The Company’s shares have dipped 0.87% or 0.01p to 1.14p a share 12/08/19 16:00 GMT. The Company’s p/e ratio stands at 27.25 and their market cap is £250.85 million.

Elsewhere in the oil and gas sector, there have been updates from; President Energy PLC (LON: PPC), Mosman Oil and Gas Limited (AIM: MSMN), Nostrum Oil and Gas PLC (LON: NOG), Reabold Resources PLC (LON: RBD) and Trinity Exploration and Production PLC (LON: TRIN).

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Jamie Gordon
Senior Journalist at the UK Investor Magazine. Also a contributing writer at the Investment Observer, UK Property Journal and UK Startup Magazine. Postgraduate of King's College London with a specialisation in Business Ethics. Interested in Development Economics and David Hume.