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No work programme in place for Kaieteur Block – Min. Bharrat
(Kaieteur News) – Minister of Natural Resources Vickram Bharrat said there is currently no work programme in place for the Kaieteur Block.
Responding to queries from Kaieteur News, the minister indicated that the prospecting licence held by Ratio Petroleum Energy remains in force, stating, “Licence is still valid until next year.” However, when pressed on whether an extension was granted for the company’s drilling decision deadline or if any forward plan had been approved, the Minister Bharrat disclosed, “No work programme is intact.”
The absence of an approved work programme means there is no defined set of exploration or drilling activities scheduled for the block at this time. Usually, companies are required to submit and secure approval for work programmes outlining exploration activities, timelines, and investment commitments under petroleum licences. The minister’s disclosure on absence of an approved work programme follows statements by Ratio that the Kaieteur Block could be abandoned if required extensions and approvals are not granted by the Government of Guyana.
Minister of Natural Resources Vickram Bharrat
Ratio in a notice late last year, said partners in the 3.3-million-acre offshore block were asked in December 2025 to indicate whether they intend to make an additional investment or abandon the acreage. The company noted that any decision to continue operations depends on conditions set by the Government of Guyana and determinations by the Ministry of Natural Resources.
Prior to the aforementioned disclosure, Ratio Guyana Limited (RGL) had notified the government of the portion of the block it is prepared to relinquish while continuing its search for a new partner.
The company had submitted a request for an extension of the exploration period. Before this, former operator ExxonMobil Guyana Limited (EMGL) had sought an extension citing the Coronavirus pandemic. After Exxon and its partner Hess withdrew, Ratio applied for another extension on similar grounds.
Under the Kaieteur Petroleum Agreement, when applying to enter the second extension period, RGL and Cataleya Energy Limited (CEL) were required to commit to drilling a well before relinquishing 20 per cent of the block, or, if preferred, the entire contracted area. Ratio had been seeking to bring in another partner or several, with the intention of one becoming operator and leading future drilling.
Kaieteur Block
The company had reported that it contacted numerous energy companies since Exxon’s exit, and while several expressed initial interest and reviewed data, all ultimately declined because of geological risks and challenges related to achieving a commercial discovery. Ratio also previously stated that if no partner is found who can serve as an operator and conduct drilling in the block, and if no further extension is granted for the decision deadline, it will find it difficult to make a decision to proceed and commit to drilling.
The agreement for the Kaieteur Block was signed in 2017, under the condition that the oil companies were only allowed to conduct oil exploration in 40 per cent of the block, to steer clear of aggressive tactics from Venezuela. A 3D seismic survey acquired for the southern portion of the block covered 5,750km2 and provided the foundation for a significant prospect inventory on the block.
Notably, a single prospect has been drilled to date, which resulted in a sub-commercial oil discovery.
The ExxonMobil-operated Tanager-1 well, which was drilled in August 2020, encountered 16 metres of net oil pay, a discovery of approximately 65 million barrels of oil in the prospect area, based on independent estimates by Netherland, Sewell & Associates Inc. (NSAI). However, this discovery was considered to be non-commercial as a standalone development. In spite of a number of postponements, ExxonMobil had decided not to exercise its option to drill a second well on the block and subsequently pulled out from the Kaieteur Block.
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