Some of the world’s renowned oil companies namely Talos Energy LLC, Premier Oil Plc, and Sierra Oil & Gas, a Mexican-based company joined forces to commence the well drilling initiative. According to Premier, the initiative is the first of its kind since the nation decided to curb other nations from engaging in its oil industry since the year 1938.
Premier continues to reveal that the Zama-1 well which is based in the Sureste Basin has an estimation of around 100 million to about 500 million barrels of oil. According to him, the drilling project is estimated to take up around 90 days. The drilling expense is expected to amount to around $16 million. Interesting to note, the above mentioned three firms scooped the sought-after rights during the bidding once Mexico country decided to re-open the oil industry to the private investors. The act is meant to save the industry from drowning.
According to Elaine Reynolds, a renowned analyst working at Edison Investment, since the well it’s the first initiative to be taken up since the re-opening of the industry, they will keep a close eye. According to the management overseeing the drilling project, the investment is believed to be successful in the long-run.
According to Charlie Sharp, an analyst based at Canaccord Genuity Limited, the project is expected to be quite a turnout. This is because it is the first of its kind during this year. Interesting to note, Talos holds much of the 35 percent of the stake and is the sole operator of the oil drilling project. On the other hand, Premier holds 25 percent whereas Sierra holds 40 percent of the stake.
About Talos Energy
Talos Energy is an oil firm that is based in Houston. In the year 2013, the oil company announced that it had acquired Energy Resource Technology GOM, Incorporation which was a subsidiary of the renowned Helix Energy Group. According to Talos Chief Executive Officer, Tim Duncan, they are excited with the great step taken in the acquisition of Energy Resource Technology GOM, Incorporation. He continues to reveal that they have what it takes to penetrate and emerge successful in the oil industry.
Talos Energy is based in Houston which provides both development and energy solutions in the energy industry. The firm is associated to both Riverstone Holdings LLC., and the Apollo Global Management, LLC.
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