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Exploration and development at crossroads in Ecuador

Journal Article · · Oil and Gas Journal; (United States)
OSTI ID:7310489

This paper reports that Ecuador's oil and gas sector has reached a pivotal point in its history. After several years of fairly brisk activity, foreign operators recently began scaling back exploration in Ecuador. They cited results that haven't met expectations and persistent delays in obtaining approval by state owned Petroecuador for development of reserves that have been discovered. Foreign oil companies had anticipated the pace of development would accelerate in Ecuador in early 1992, but major projects generally remained in limbo for most of this year. At presstime, however, there were signs of an encouraging follow-through in promised reforms in the permitting process. Petroecuador in April-May approved two of those projects and a third in June. Of the 13 oil companies or groups that had signed exploration contracts with the state oil company since 1985, several companies have terminated their operations in the country, and only one company, Oryx Energy Co., Dallas, is producing a small volume of oil. Two other companies have been negotiating exploration rights for about 2 years, with contracts yet to be signed.

OSTI ID:
7310489
Journal Information:
Oil and Gas Journal; (United States), Journal Name: Oil and Gas Journal; (United States) Vol. 90:27; ISSN OIGJA; ISSN 0030-1388
Country of Publication:
United States
Language:
English