on RESOURCES OF ECUADOR Oil Resources of Ecuador Downloaded from http://onepetro.org/trans/article-pdf/68/01/1032/2177152/spe-923032-g.pdf by guest on 29 September 2021 By V. F. MARSTERS, KANSAS CITY, Mo. (New York Meeting, February, ·1922) SEEPAGES of oil in Ecuador have been known for many years. The locality first to receive attention, and still worked in a modest way, lies on the north shore of the Santa Elena peninsula, between La Puntilla and Salinas. Operations were first conducted largely by local capital. Later, foreign companies acquired large blocks of land, where they have done considerable drilling. For details concerning present drilling activi­ ties in Ecuador, we are indebted to Leon Price, an Amel'ican resident engineer of Ecuador. The information 60licited came to the author through the office of the American Consulate,! with permission to use it. The coastal plain bordering the Province of Tumbes, Peru, continues to the northeast, but narrows on passing the Zarumilla River. From this point northward it widens toward Santa Rosa. In fact, the pampas, as shown on the official Wolf map, correspond fairly well to the areal extent of the coastal plain as far as Guayaquil. This is shown in a general way on the accompanying map. The author understands that the Guayaquil embayment is bordered on all sides by the coastal plain, as recognized at Tumbes and farther southwest, and that it can be followed without a break as far north as Palmar. This view is supported by the mapped area regarded by Mr. Price as favorable or possible oil territory. Moreover the islands in the Gulf of Guayaquil are the same geologically as the coastal edge, being composed of Tertiary sediments. The author understands also that Tertiary formations occur north of Palmar. According to a report by Mr. Cardon, of Guayaquil, Tertiary sediment~ are exposed in the region of San Francisco and extend to and beyond Pta. Calera. There is also reason to believe that at least the lower part of the valley of the Santiago River is occupied by Tertiary sediments, which probably border the coast line and extend into the River Mira baRin, and into Colombia. On the south coast there are many seepages, most of them neal' the inner edge of the coastal plain, between Zarumilla and Santa Rosa and also between Santa Rosa and Machala. In the latter region are 1 F. W. Goding, Consul General, Guayaquil, Ecuador. V. F. MARSTERS 1033 many low places or basins, usually partly filled with water; at times, the pools in these lowlands show oil films. The author is informed also Downloaded from http://onepetro.org/trans/article-pdf/68/01/1032/2177152/spe-923032-g.pdf by guest on 29 September 2021 () • S~efXT8e.s .D Favor<:rble ot! lanels o Possible od la"ds o Concf?,ssions FIG. I.-PETROLEUM REGIONS OF ECUADOR. that a few seepages are known between Machala and Nevasa. It is reported that seepages occur on Puno Island, which, as well as many other islands, is thought to be composed mainly of Tertiary sediments. 1034 OIL RESOURCES OF ECUADOR In reality, it represents a partly drowned section of the coastal plain. The Machala-Santa Rosa seepages are vouched for by Mr. Cardon, and I have been mentioned also by other engineers. North of Guayaquil in the basin of the Guayas (or Daule) River, at Portrillo and ncar Daule, also to the west of Guayaquil near Chongon, seepages are men­ tioned by Price and others. In the interior, east of Quito, seepages occur near Banos. Seepages on the coast line, at or near Manglar Alto, are mentioned by Price, Cardon, and others. Downloaded from http://onepetro.org/trans/article-pdf/68/01/1032/2177152/spe-923032-g.pdf by guest on 29 September 2021 Concerning present operations in Ecuador, I quote the statements of Mr. Price. Anglo-Ecuatoriano Oil Fields Co., Ltd., or " Ancon Oil Co."-This company was organized in 1919 to take over the holdings of the Lobitos Oil Co. in Ecuador, and in fact is a subsidiary of that company. Its property includes approximately 129,000 acres (52,204 ha.) in the region of Ayangue, about 30 km. northeast of Santa Elena. The company drilled one test well 1600 ft. (488 m.). Drilling activities stopped about July, 1921. It holds some 35,000 acres (14.160 ha.) in the vicinity of Ancon, about 12 km. south of Santa Elena. A well was drilled about 2 km. west of the village, but is now practically abandoned, although it is capable of producing a few barrels of oil per day. Well No.2 of this company, 1 m. (1.6 km.) east of No.1, was drilled to 2800 ft. (853m.) and produced about 40 bbl. per day. Well No.3 is being drilled about 1 mi. northeast of No.3. British Controlled Oilfields Co., Ltd.- This company has optional holdings on approxilllately 60,000 acres (24,280 ha.) located about 15 km. inland from Punta Centinella. The company drilled three wells, two of which are located near the shore and were drilled to depths of 700 and 2000 ft. (213 and 610 m.), both showing oil. A third well was drilled near Volcancito, about 25 km. east from Santa Elena, the depth of which is unknown. The company closed its operation in Ecuador in December, 1921, and concentrated its activities in Venezuela. International Petroleum Co., Ltd. (of Canada).-This is a subsidiary of the International Oil Co. of Canada. It is drilling a well near Manta, which in August, 1921, had reached a depth of 1500 ft. (457 m.), with IlO indication:;: of oil. Under the old law, this company denounced a block of 1000 acres (405 ha.) and also bought a number of claims scattered over the Santa Elena and Ancon regions. It is producing no oil. Sackay & Harmsworth Exploration Co.-This company controls about 20,000 acres in the extreme western part of the Santa Elena peninsula, the producing property lying southwest of Santa Elena town. The company has three wells, each about 700 ft. deep (213 m.). It has also a number of open pits which produce considerable seepage oil. The oil from the wells averages about 45° Be. but that from the pits V. F. MARSTERS 1035 ranges from 20° to 40°. The company purchased a small refinery at Saltivo. The production is sold at Guayaquil and is sufficient" to inter~ fere with the imports of that commodity. Local Petroleum Interests.-A number of hand-dug pits lie south of Salinas, about 40,000 bbl. being the annual output. This is refined at the Carolina refinery. Another Guayaquil syndicate is drilling a well on its property near Ancon. Leonard Exploration Company of New York.-This company has been merged recently into the Andes Corporation of New York. It has been Downloaded from http://onepetro.org/trans/article-pdf/68/01/1032/2177152/spe-923032-g.pdf by guest on 29 September 2021 granted a concession in EI Oriente of 20,000 sq. km., divided into two zones, one around the village of Canelas, and the other farther north along the Cofanes and San Miguel Rivers. Under its contract, the company paid a deposit of 500,000 sucres and must build roads through the cor­ dilleras to their properties. A telephone line is being constructed. Amazon Corporation of Canada.-This company has been granted a large concession in EI Oriente, also divided into two zones. The total acreage is not known, but it is near the concession granted to the Leonard Exploration Co. The company agrees to enter into the construction of railway on a large scale. SUMMARY OF POSSIBLE TO FAVORABLE OIL-BEARING TERRITORY The author has no reliable information upon which to make any calcu­ lations on the possible, probable, or favorable oil-bearing territory at the east foot of the Andes. There is no doubt that oil seepages occur near Yurimaguas, on the Haullaga River, close to the boundary between Peru and Ecuador.2 Cretaceous and probably Tertiary sediments are thought to occur in this eastern province. Geological conditions are similar to those in the coastal province, and duplicate in part what is reported in the Argentine and Bolivia. Hence one may expect to find oil deposits of commercial importance in the oriental provinces of Ecuador and Peru. A summary of possible to favorable oil territory in the coastal province of Ecuador is given in the following tabulation. SQ. KM. ACRES Favorable territory: Part of Santa Elena peninsula .... 4,704 1,181,888 Possible to probable territory: Olan to Palmar (coastal plain) ... 5,152 1,271,541 San Francisco area (coastal plain) ... 1,400 345,800 Mira-Santiago area (coastal plain). ....... 2,800 691,600 Guayaquil (coastal plain) .................. 2,464 608,608 Islands, Gulf of Guayaquil. ................ 1,232 304,304 Guayaquil to Peru border (coastal plain) .... 3,360 830,020 Interior belt, Santa Rosa to Peru border .... 4,088 1,009,736 Total possible to probable ............... 20,496 5,061,609 2 Publications of Ricardo A. Deustua, Lima, Peru. 1036 OIL RESOURCES OF ECUADOR This tabulation is based on the map submitted by Mr. Price; the following remarks may help elucidate them. Mr. Price indicates on his map that an interior oil belt extends south from Santa Rosa to the Chira River. He considers the belt as possible oil-bearing territory. Investigations by the writer east of Tumbes, believed to touch the area shown on the map, did not reveal any of the oil-bearing formations of the coastal region. Moreover, the older sediments observed had undergone complicated folding and metamorphism.