CAPITAL: Quito
MONETARY UNIT: Sucre
REFINING CAPACITY: 168,000 b/cd
OIL PRODUCTION: 385,000 b/d
OIL RESERVES: 2.1 billion bbl
GAS RESERVES: 3.7 tcf
The Ministry of Energy and Mines cleared the way for Arco-Agip to commence Villano oil field development in the Oriente area. The companies expect ultimate recovery of 160 million bbl of 21° gravity oil during 20 years
Pacalta Resources Ltd., Calgary, in 1996 acquired 100% of City Investing Co. Ltd., which has the longest continual operating history in Ecuador`s oil industry. City Investing had operated in Ecuador more than 20 years.
Pacalta in early 1997 completed Ecuador`s first 3D seismic survey, on the City Block. In the Oriente basin Pacalta operates the 89,000 acre City Block and the producing 494,000 acre Block 27, which includes Fanny oil field. The 200 sq km 3D survey was acquired to delineate 10 well Fanny field, which had no dry holes or edge wells drilled through early 1997, and the Mariann and Joan pools.
The City Block produced 30 million bbl of oil in 20 years, including 22 million bbl from Fanny field. Proved reserves were 34.5 million bbl as of late 1996, and production was rising from 7,000 b/d in early 1997.
Pacalta`s Block 27 had three shut-in wells drilled in the 1970s that flowed 900-1,400 b/d of 10-18° gravity oil.
Argentina`s YPF SA dedicated a new southern production complex on Oriente Block 16 to handle 100,000 b/d of 16-20° gravity crude from five area fields by 1998.
Samedan unit Energy Development Corp. (EDC), Houston, was to start development of Amistad gas field in the Gulf of Guayaquil with a $104 million investment. It won rights to 3,497 sq km Block 3, containing Amistad.
Transportation
Ecuador in early 1997 called for an international tender for construction, operation, and transfer of a 514 km crude oil pipeline, Sistema de Oleoducto Centro Oriente, from Sacha oil field in the Oriente oil province to Balao terminal on the Pacific.
The 216,000-246,000 b/d line will transport 16-18° gravity crude from fields in the central southern Oriente jungle and from future developments.
Oriente production rates have been restricted since the late 1980s. The basin`s capacity in early 1997 was 380,000 b/d. Of that, 335,000 b/d was shipped through the Trans-Ecuadorian pipeline and 45,000 b/d was shipped on the Trans-Andean Pipeline through southern Colombia.
Arco-Agip won approval to build an 81 mile, 80,000 b/d pipeline for startup in 1999 to transport Villano oil to Trans-Ecuadorian near Baeza, and Pacalta built a 45 mile, 12 in. pipeline in 1997 to carry its crude to Trans-Ecuadorian.
