Eni said that the Orinoco belt is the world’s largest deposit of heavy oil with original oil in place equal to 1.3 trillion barrels and huge reserves which are mostly still undeveloped, with current oil production at approximately 600,000 barrels per day.
The agreement between Eni and PDVSA relates to the Junin Block-5. Located in the Venezuelan state of Anzoategui, some 550km south east of Caracas, the block covers an area of approximately 670sqkm with a resource potential preliminarily estimated to be in excess of 2.5 billion barrels of oil equivalent.
PDVSA and Eni have agreed to carry out joint studies aimed at confirming the block’s reserves as well as identifying the most suitable development program. Upon the successful completion of the joint studies, the award of the development of the prospective area will be applicable to the joint venture, in which PDVSA has a 60% interest and Eni a 40% stake.
The development will be aimed to achieve early production of 30,000 barrels per day and a long-term production plateau of 300,000 barrels per day.
