EXPLORATION ACTIVITIES IN URUGUAY

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1 EXPLORATION ACTIVITIES IN URUGUAY ENG. NATALIA BLÁNQUEZ Houston September 18 th, 2017 OFFICIAL ANNOUNCEMENT URUGUAY ROUND 3 EXPLORATION AND PRODUCTION ANCAP

2 Introduction Offshore operations Onshore operations ANCAP as facilitator Final remarks Content

3 Introduction Offshore operations Onshore operations ANCAP as facilitator Final remarks Content

4 Uruguay oil and gas map

5 Introduction Offshore operations Onshore operations ANCAP as facilitator Final remarks Content

6 Offshore 2D Seismic 2D seismic before 2002: 13,000 Km All 2D seismic surveys today: 41,000 Km

7 Offshore 3D Seismic 15,675 Km 2 2,500 Km 2 7,166 Km 2 13,545 Km 2 Approx 42,000 Km 2 3D SEISMIC 1,900 Km 2

8 Offshore 2D and 3D Seismic Simultaneous activities Source: Gristo et al., 2015

9 Offshore 3D ElectroMagnetism (CSEM)

10 Other activities Seabed sampling for geochemical analyses HeatFlow Measurements MMT Survey

11 Metocean conditions Data acquisition through 13 months in all the water column: confidence in metocean knowledge in Area 14. metocean.fugrogeos.com Impact on drilling vessel selection for the offshore exploratory well : Maximum operating conditions Requirement for DP3 vessel Impact on riser design (use of fairings) 11

12 Exploratory well in ultra-deep waters Challenge: more than 40 years after last offshore wells drilled 3,404 m Water Depth

13 Exploratory well in ultra-deep waters On time and budget Coordination with different entities Success from operational, HSE, drilling engineering, point of views

14 Areas requested at Port of Montevideo for: Pipe storage Contruction and operation of the mud plant (1,900 m2) Area for circulation and operations of charge and discharge of support vessels Logistics 1/2

15 Logistics 2/2 3 high-standard PSVs 2 dedicated to charge and discharge operations 1 as stand-by vessel for support, near the drilling vessel 1 helicopter (+1 for back-up) operating from Montevideo Personnel transportation (MVD- RIG- MVD) Support for MEDEVAC Crew change every 28 days Transportation of 17 to 19 people 1,5 hs travel time to the well Operations from Carrasco International Airport

16 Introduction Offshore operations Onshore operations ANCAP as facilitator Final remarks Content

17 Onshore operations 600 km 2D seismic acquisition MT data (51 stations) Stratigraphic wells (more than 1,500 m) Geochemical analysis

18 Onshore: 4 exploratory wells

19 Introduction Offshore operations Onshore operations ANCAP as facilitator Final remarks Content

20 Offshore exploratory operations guidelines Document issued by ANCAP Compilation of the national and international regulatory framework Institutions and organizations involved in the activity Requirements for exploratory activities (Seismic, drilling and others)

21 Exploratory operations Environmental permits Project Communication Project Classification A B C Environmental Authority (DINAMA) New requirement for seismic operations - successful experience Guidelines for the elaboration of an EIA for seismic acquisition offshore EsIA Public Manifest Public Audience Previous Environmental Authorization Environmental Authorization for Operation

22 ANCAP as facilitator PETROLEUM COMPANIES SERVICE COMPANIES STATE AGENCIES ACADEMY MVOTMA: DINARA, DINAMA MIEM: DNE, DINAMIGE, DNI MEF MUNICIPAL AUTHORITIES ANP (PORT) CUSTOMS NAVY/COASTGUARD URUGUAY XXI MEC: UDELAR, ANII, PEDECIBA, ANEP. UNIVERSITIES AND INTERNATIONAL INSTITUTIONS OTHER COMPANIES PORT LOGISTIC SERVICES LEGAL FIRMS CUSTOM BROKERS PRESS NATIONAL & INTERNATIONAL COMUNITY SCHOOLS, NOGs, LOCAL NEIGHBOURHOOD BOARDS, UNIONS

23 Introduction Offshore operations Onshore operations ANCAP as facilitator Final remarks Content

24 Final remarks ANCAP is the regulator of the oil activity in Uruguay, promoting and facilitating responsible, efficient and safe operations In the last few years there has been an exponential increase in geophysical, geological and exploratory data of our basins, particularly offshore Synergy among all involved parties allowed successful results, significant investment and data generation The country has demonstrated the ability to face new and complex operations 24

25 WEB PAGE: exploracionyproduccion.ancap.com.uy Geological information about Uruguayan offshore and onshore basins Available E&P database Bidding round terms Map of offered areas Contract Model Contact information Presentations All relevant information regarding Uruguay Round 3 will be uploaded and posted at this web page 25

26 THANK YOU VERY MUCH FOR YOUR ATTENTION

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