Companies turn to Cuba following landmark onshore discovery

[El Presidente]

 

 

 

 

 

Companies turn to Cuba following landmark onshore discovery

Exploration activities in the works after Alameda find

International oil companies operating in Cuba could be looking for additional hydrocarbon resources soon, on the heels of a potentially transformative onshore discovery made on the Caribbean island.

Australian independent Melbana Energy in partnership with Angola state-owned company Sonangol have successfully unlocked oil in Block 9 with the Alameda-1 and Alameda-2 wells, suggesting a production development could be on the cards.

Melbana praised Alameda as a “tremendous success”, with the Alameda-2 well flowing at rates of 1903 barrels per day of oil graded at 19 degrees API at peak during a test carried out a few weeks ago.

https://www.upstreamonline.com/exploration/companies-turn-to-cuba-following-landmark-onshore-discovery/2-1-1521077

[Corylax18]

It will be interesting to see how Cuba completely screws this up. Its been known for decades that there is drillable oil under/around Cuba, but with Venezuela pouring oil down their throats for years, there was no incentive to drill their own. I wonder how long it will take Melbana/Sonangol to make a profit at that relatively slow flow rate and how they plan to get the oil off the island to be refined and used. 

[NSXCIGAR]

On 9/23/2023 at 8:31 AM, Corylax18 said:

I wonder how long it will take Melbana/Sonangol to make a profit at that relatively slow flow rate and how they plan to get the oil off the island to be refined and used. 

If they can find another sucker to build a refinery that would be huge for them. 

In the meantime, I imagine Cuba will continuously raise the lease rates, squeezing every last dime of profit out of them, until they wished they never set foot on the island. 

[Nevrknow]

As a simple business man, I can't even comprehend how anyone would be stupid enough to even entertain the thought of investing 1 ( choose peso, dollar, euro ) into something such as this.

It really must be true about more $$ than sense. 😬

If it's this easy I need to rethink a new business plan.