May 31, 2018 (LBO) - Sri Lanka's Minister of Petroleum Resources Development, signed an agreement with Eastern Echo DMCC, subsidiary of a major oilfield services company Schlumberger, Wednesday to explore prospects for oil and gas resources in selected offshore areas of the island.
The company will collect, market and license of petroleum data on “multi-client” basis, enabling several data acquisition projects, including 2D and 3D seismic data.
This Agreement acts as an umbrella for the execution of several multi-client based service agreements to carry out seismic data acquisition surveys , advance data processing/interpretation work or modeling of Petroleum systems as the case may be depend on the country’s requirement and pre-commitments to be secured by the contractor.
"They expect to invest US 50 million dollars for the exploration under this agreement," Arjuna Ranathunga, minister of Petroleum Resources Development said.
"Eastern Eco DMCC , will recover it from sales proceeds to multiple investors."
The also includes the following....- The provision of training on petroleum systems modeling & interpretation of the new data, and further integration with, and update of, the existing geo technical database in this agreement will enhance Sri Lanka’s interpretation and basin modeling capabilities, thereby increasing our understanding of the sub-surface.The specialist training, and newly acquired and petroleum data is an essential precursor to future licensing rounds .
- This will accelerate the licensing process and speed up maturation of discovered assets.
- This investment will enable and foster knowledge transfer to local geo-scientists, access to leading edge technology and build in-country expertise in technical, financial and economic modeling areas.
- In addition, the Government will also receive a share of future data sales revenue either in cash or structured competency development programs/software form schlumberger as preferred.
- Opportunities for promotion and marketing of Sri lanka’s data as well as hydrocarbon potential globally through a comprehensive global network of oil and gas companies.