EL DORADO, Arkansas -- Murphy Oil Corp. subsidiary, Murphy Suriname Oil Co. Ltd. has signed a production-sharing contract (PSC) for block 37 offshore Republic of Suriname in South America.
Block 37 covers an area of approximately 2.1 million acres and lies in water depths of 160-1,000 ft (49-305 m). The PSC covers an initial six-year exploration phase and includes commitments to drill two wells and acquire 3D seismic.
"We are pleased to have concluded this contract with Staatsolie and look forward to beginning our exploration program in this new area," said Claiborne P. Deming, Murphy Oil Corp. president and CEO. "With multiple play types, offshore Suriname has a lot of attraction. Our new 3D seismic survey planned for later this year will better define targets for our subsequent drilling program which will likely commence in 2008."
Murphy operates block 37 with 80% working interest. Staatsolie Maatshappij Suriname N.V., the national oil company of Suriname, holds the remaining 20% interest.