Ongoing data reprocessing program at block off Uruguay to back farmout process targeted for mid-2025

(ofshore-energy.biz) Isle of Man-headquartered oil and gas player Challenger Energy Group (CEG) is carrying out a data reprocessing program at a shallow water exploration block off the coast of Uruguay, expected to back a formal farm-out process anticipated to commence in mid-2025.

A program of reprocessing work is underway at the AREA OFF-3 block to secure access to necessary historic 3D seismic data, with preliminary outputs expected by the end of the year and work to be fully completed in the second quarter of 2025.

According to CEG, 3D seismic reprocessing work will be supplemented with a range of other seismic workflows including Amplitude Variation with Offset, also used on AREA OFF-1.

The aim is to faster mature the available data set for AREA OFF-3, said to be enough to allow a robust prospect inventory to be mapped and potential drill locations to be identified, in support of a formal farmout process that CEG is targeting to commence in mid-2025.

An uplifting licensing model has been agreed under which agreed license fees will become payable only if/when a farmout is concluded. The total of other costs associated with the work program in 2024 and 2025, including reprocessing, interpretation, mapping and complementary technical work, is expected to be in the range of $1 million and $1.5 million.

Read full article: https://www.offshore-energy.biz/ongoing-data-reprocessing-program-at-block-off-uruguay-to-back-farmout-process-targeted-for-mid-2025/