Exploration and Production in selected Peruvian petroleum basins

The Talara Basin is very mature for exploration. The majority of the reserves discovered to date were found in the early years of exploration. The last significant onshore discovery was Bronco Este 1X in 1994 with 5 MMbo. Interest in the offshore sector of the basin has increased since it became apparent that a number of coastal fields extended offshore. Since 1985, exploratory drilling has remained at a low level. The Talara Basin, producing since the mid 1871 had a cumulative oil production of about 1,400 MMbo by the end of 1997. Attention is likely to focus on relatively unexplored parts of the basin, secondary and tertiary recovery techniques as the most effective ways of expanding the reserve base.

The Trujillo and Salaverry offshore basins with only one dry new-field wildcat each are still unexplored frontier areas.

The Maranon Basin is one of a series of South American sub-Andean basins that stretch from Venezuela to Chile and include some of the world's classic petroleum provinces. The Maranon Basin (the Peruvian sector of the basin) has proven moderately prospective and profitable for Occidental and for many years and Pluspetrol today. The Peruvian portion of the basin is a moderately productive oil province, with about 20 small to large producing fields.

Exploration in the Huallaga Basin has been limited. Only 1,600 line km of seismic data have been acquired and one well was drilled in early 1990s by Mobil without success.

The Ucayali Basin is considered a major proven hydrocarbon province with remaining exploration potential. This is based primarily on the discovery of three giant gas fields referred to collectively as Camisea. The basin is still immature in terms of seismic and drilling densities. Major production has just begun in the basin, with coming online of the San Martin Field in 2004. An issue here is that the gas prone Ucayali Basin has far more reserves than immediate markets. When the LNG export project comes online in 2010, this situation will begin to change.

Exploration of the Madre de Dios Basin is still in an immature state but it is considered highly prospective. The remote jungle frontier basin has no production but the opening of the Camisea pipeline in 2004 makes the area less remote and improves the prospect of monetizing a discovery. There has been no production from the basin to date.