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DOMINICAN REPUBLIC 1St LICENSING ROUND

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DOMINICAN REPUBLIC 1St LICENSING ROUND DOMINICAN REPUBLIC 1st LICENSING ROUND Exploration Opportunities Ruben Arismendy, Managing Partner Neoil Exploration July 10, 2019 1 AGENDA 1. INTRODUCTION 2. EXPLORATION OPPORTUNITIES » CIBAO BASIN » ENRIQUILLO BASIN » AZUA BASIN » SAN PEDRO DE MACORIS 3. SUMMARY AND DATA PACK 2 INTRODUCTION www.roundsDR.gob.do Several important fields and working petroleum systems have been identified across the Caribbean Dominican Republic: Oil and gas shows Source: Neoil Exploration 3 INTRODUCTION www.roundsDR.gob.do Dominican Republic is under explored and activities done since early 1900s prove the existence of a working petroleum system Exploration focused on the oil Two deep Exploration Wells: Two Wells in Cibao Basin: 2D Seismic Survey- seeps around Maleno & Kilomentro 19-2 & Maleno DT-1 Sorpresa -1 & Dominicanos-1 Enriquillo Basin Higuerito (Azua Basin) (Tested gas @4091 ft) (Gas Shows @3440 ft) Seaboard Oil Co. acquired a Howard S. Cole Co. Drilled two 41 km of 2D seismic in large concession in the Azua wildcats in Cibao Basin & 2 dry wells Azua Basin & 1898 km Basin by Compañia Petrolera Azua: 2D in San Pedro de Kilometro 19-1 (Gas shows), Arroyo Macoris Basin Further drilling at Higuerito Blanco-1 and Maleno reported good oil Cibao Basin 2D seismic and gas shows 5 Maleno wells drilled & abandoned Survey (all with gas or oil shows) 1905 1927 1939 1942 1947 1958 1960 1964 1970 1980 1990 2000 Higuerito sustained production First geophysical surveys with Seven Wells in Azua Basin: 2 2 wells drilled: 1 in 1927/8 by Texas Co. gravity /seismic surveys with Oil & Gas shows Azua Basin & 1 in Enriquillo Basin The first well drilled at Seaboard wells at Maleno-1 and 2D Seismic Survey-Enriquillo Higuerito produced Maleno-1A found oil in “Miocene Basin about 400 bbls/d of sands”, with pay zones between 350 6 wells drilled: 1 Azua oil and 470 ft. Basin, 4 in Cibao basin Five wildcat wells: Quita Coraza-1, El Mogote-1, Mella-1 (Gas 11 wells drilled: 2 Azua Basin, 6 in Cibao Basin (4 with gas shows), Shows), Comendador-1, and Las Hormigas-1 (Oil &Gas shows) and 3 in Enriquillo Basin (all of them with gas shows) Note: Modified from Mann & Lawrence, 1991 Source: Neoil Exploration 4 INTRODUCTION www.roundsDR.gob.do Dominic Republic Tectonic setting • Subduction of N. America plate below Caribbean Plate • Strike-slip, convergent structures produced by displacements and transpressional accretion of crustal fragments (Mann & Lawrence, 1991) • Thrust belts developed on both sides of oceanic island arcs • North-verging accretionary prism lies to the north of the Eastern Greater Antilles Arc Note: From: Ten Brink, 2011 Source: Neoil Exploration 5 INTRODUCTION www.roundsDR.gob.do Dominican Republic offers an attractive portfolio of investment projects Blocks on Offer per Basin Onshore Offshore • Cibao – 6 4• San Pedro – 1 1 blocks 4 blocks 2• Enriquillo – 3 blocks 3• Azua – 1 block 3 2 • 14 blocks total – Max. 4 size/block of 500 km2 onshore , 2,500 km2 offshore 1 2 Source: Wood Mackenzie, MEM, Neoil Exploration 6 AGENDA 1. INTRODUCTION 2. EXPLORATION OPPORTUNITIES » CIBAO BASIN » ENRIQUILLO BASIN » AZUA BASIN » SAN PEDRO DE MACORIS 3. SUMMARY AND DATA PACK 7 EXPLORATION OPPORTUNITIES www.roundsDR.gob.do Six onshore blocks have been delineated in the Cibao basin Cibao Basin Blocks • CB1, CB2, CB3, CB4, CB5, CB6 Basin Area • ~7000 km2 CB1 CB2 Tectonics • Asymmetrical Strike-slip basin CB3 CB4 Seismic CB5 CB6 • ~630km 2D • ~ 23% of 2D seismic coverage Wells Drilled • 16 wells • MD 1,000 ft - 12,000 ft • ~ 70% of the wells < 6k ft Source: Neoil Exploration 8 EXPLORATION OPPORTUNITIES www.roundsDR.gob.do Cibao basin highlights POSITIVES POTENTIALS • Frontier basin • Depocenter in the norther central part of • Max sediment thickness to the north of the basin with potential HC generation Basin ~18K ft • 2D seismic data available (~630 km) • Only ~20% seismic coverage • 16 wells drilled • Provides ~80% addt’l to test G&G Data • Modern tech can improve dated info • Type III gas- prone Kerogen (Tillman, 2015) • Potential source rock have subsided to Petroleum • Pseudo well shows Tabera Group entering depths of 18k ft System in oil window • Marine sediments (Tabera fm) may have kerogen Type II • 16 wells, 4 of them with gas shows • High-angle transpressive faults, positive • At least 3 plays in the basin flower structures, anticlines identified in 2D Prospectivity • Several potential prospects – potential structural traps Source: Neoil Exploration 9 EXPLORATION OPPORTUNITIES www.roundsDR.gob.do Stratigraphic column of Cibao Basin shows tectonic events and petroleum systems /ACC PERIOD EPOCH LITHOLOGY FORMATIONS . TECTONIC EVENT MIGR SEAL PLAY PLAY 1 PLAY 2 PLAY 3 RESERVOIR TRAPS FORM. TRAPS SOURCE ROCK GEN/ Holocene QUATERNARY Siliciclastic & Limestone Alluvium Pleistocene Siltstone & Clay Mao Fm. Pliocene Continued Ramp Basin development-Basin Filled by Siltstone Gurabo Fm. Shallowing-Upward clastic sequences & evaporites Initial Ramp Basin Formation-basin act as conduits for Conglomerate & Sandstone Cercado Fm. NEOGENE clastic sedimentation derived from North and Northwest Miocene Collision of northern and southern Hispaniola-SW- verging TERTIARY Siliciclastic & Limestone Baitoa Fm. folds and thrust faults Oligocene Submarine Fan Deposits Tabera Group ? Underthrusting/accretion in transpressional environment Eocene PALEOGENE Paleocene Arc Basement Basement CRETACEOUS LATE Note: Modified from Tillman, 1991- Mann & Lawrence, 1991 Source: Neoil Exploration 10 EXPLORATION OPPORTUNITIES www.roundsDR.gob.do Geological map shows presence of hydrocarbons Presence of Hydrocarbons • 4 Wells with gas shows • 2 oil seeps Note: Modified from Tillman, 1991- Mann & Lawrence, 1991 Source: Neoill Exploration 11 EXPLORATION OPPORTUNITIES www.roundsDR.gob.do Cibao Basin shows potential source rocks in several formations SR Oil Window SR • Source Rock: Tabera Group is a hypothetical source rock, in oil window since late Oligocene, based on TOC Logs ( San Francisco-1 well); shows potential Source rocks in Guarabo fm • Reservoir Rock: SF–1 well and outcrops show good reservoirs along Miocene and Pliocene • Seal Rock: Several siltstone & clay from Oligocene & Pliocene • Trap: Seismic shows a highly deformed basin with high angle transpressive faults, positive flower structures and anticlines – All potential HC traps • Timing: Potential deeper source rock (Tabera Group) would have reached max peak of generation during Miocene Note: From Well San Francisco-1, showing potential Source Rock (SR) from log analysis; Cibao Basin pseudo well, from Tillman, 1991 Source: Neoil Exploration 12 AGENDA 1. INTRODUCTION 2. EXPLORATION OPPORTUNITIES » CIBAO BASIN » ENRIQUILLO BASIN » AZUA BASIN » SAN PEDRO DE MACORIS 3. SUMMARY AND DATA PACK 13 EXPLORATION OPPORTUNITIES www.roundsDR.gob.do Three onshore blocks have been delineated in the Enriquillo basin Enriquillo Basin Blocks • EN1, EN2 and EN3 Basin Area EN1 • 3,100 km2 Tectonic • Synclinal, Upper Miocene to recent EN3 sedimentary ramp basin EN2 Seismic • ~1,000 km 2D • ~90% of 2D seismic coverage Wells Drilled • 9 wells • MD 500 ft-15,800 ft. • ~ 80% of the Wells < 9k Ft Note: From Mann et al., 1991 Source: Neoil Exploration 14 EXPLORATION OPPORTUNITIES www.roundsDR.gob.do Enriquillo basin highlights POSITIVES POTENTIALS • Frontier basin • Depocenter in the Central part of the basin • s over ~ Basin Max sediment thickness i 18K ft with proved HC generation • 2D seismic data available (~1,000km) • ~90% seismic coverage • 9 wells drilled • Modern tech can improve dated info G&G Data • Basin w/ most seismic coverage on the island • HC generation proved by oil & gas seeps • Potential for biogenic & thermogenic gas Petroleum • 3 source rocks (Trinchera, Sombrerito & (Trinchera Fm.) System Plaisance Fm.) • At least 3 plays in the basin • Traps: Thrust structures, salt related • Prospectivity 4 Wells with gas shows structures, potential in carbonate and reef • Several undrilled prospects identified associated deposits Source: Neoil Exploration 15 EXPLORATION OPPORTUNITIES www.roundsDR.gob.do Stratigraphic column of the Enriquillo basin shows tectonic events and petroleum systems PERIOD EPOCH LITHOLOGY FORMATIONS C. TECTONIC EVENT SEAL ROCK PLAY PLAY 1 PLAY 2 PLAY 3 SOURCE RESERVOIR GEN/MIGR/AC TRAPS FORM. TRAPS Costal Coral/Coral Holocene Cuaternary Deposits Limestone/Alluvium Terrace QUATERNARY Pleistocene Fluviatile/Shallow Marine Jimani Evaporite Las Salinas Pliocene Continued Ramp Basin development-Basin Filled by Shallowing- Fluviatile/Shallow Marine Angostura Upward clastic sequences a& evaporites Initial Ramp Basin Formation-basin act as conduits for clastic Sand & Shale Trinchera NEOGENE sedimentation derived from North and Northwest Miocene Collision of northern and southern Hispaniola-SW- verging folds Pelagic Limestone Sombrerito and thrust faults TERTIARY Oligocene Limestone Neiba/Plaisance Underthrusting/acrretion in transpressional enviroment Eocene PALEOGENE Paleocene Limestone San Rafael Igneous/Metamorphic CRETACEOUS LATE Igneus Complex Basement Note: Modified from Tillman, 1991- Mann & Lawrence, 1991 Source: Neoil Exploration 16 EXPLORATION OPPORTUNITIES www.roundsDR.gob.do Enriquillo geological map shows presence of hydrocarbons from wells drilled Presence of Hydrocarbons • 4 wells with gas shows, 2 oil seeps and 1 gas seep Charco Largo-1 Well Source: Neoil Exploration 17 EXPLORATION OPPORTUNITIES www.roundsDR.gob.do Enriquillo petroleum system shows three defined source rocks Potential prospects In the southern part of the basin
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