Chevron agrees to transfer part of offshore Suriname field to Shell

(Reuters) – A unit of U.S. oil producer Chevron Corp (CVX.N) on Friday transferred one-third of its 60%-equity interest in an offshore Suriname block for which it has a production sharing agreement to a unit of Royal Dutch Shell (RDSa.L), Suriname’s state oil company said.

Paradise Oil Company, a subsidiary of Suriname’s state-run Staatsolie, retains its 40% stake in the Block 5 venture as a non-executive partner, according to the farmout contract.

“Staatsolie welcomes the participation of a reputable party like Shell in Block 5. The farmout endorses the great interest there is in the offshore area of Suriname,” the company said in a release.

Staatsolie and Chevron signed a production sharing contract in October for Block 5, which covers an area of 2,235 square kilometers. The deal marked the first time that Staatsolie will participate as a partner in offshore activities. read more