By Benjamin Flowers
Despite declining oil production, the Ministry of Energy, Science and Technology and Public Utilities says that the Spanish Lookout and Never Delay fields still have some ten years worth of production left in them.
Chief Executive Officer in the ministry, Dr. Colin Young, told The Reporter this week that the decrease in production comes as no surprise to the ministry since it was predicted in the projections made by Belize Natural Energy Limited.
“The field is going but it’s not gone yet,” Young said, “it is estimated that the decrease will continue and by 2024 it will be down to 1000 barrels per day.”
Young explained that at that point the price of oil will determine whether or not the company will continue to extract, pointing out that if the price were $100 a barrel, 100 barrels a day for 365 days is $36.5 million.
He added that the government of Belize is partnering with BNE to look at keeping the production in the fields up by exploring how to increase efficiency of the fields as well as employing what is known as recovery enhancement techniques to get more out of the fields.
Of the six oil companies with oil concession sin Belize two are currently in-active and the others are all planning seismic testing activity scheduled for various points throughout the year. BNE’s production sharing agreement was never renewed and its concession area was given over to Pacific Rubialis.
US capital energy informed the ministry this week that its drilling depth in the Sarstoon Temash National Park has reached some 7,200 feet; however there is still some distance to go before they will know whether or not they will strike oil.
The statistical Institute of Belize external trade statistics released this week, showing that revenue derived from crude oil production had declined by some $40 million. The data shows that revenue fell form from $127.5 million during the first ten months of last year to $87.8 million during the same period this year.