The Bahamas Petroleum Company (BPC) is optimistic that it will begin drilling in 2012. BPC CEO Dr. Paul Crevello told Guardian Business yesterday that the company and the government are working on establishing the necessary regulations so BPC can further conduct its operations in the country, and Crevello is feeling positive about the progress being made.
Crevello mentioned that over $14-$15 million to date has been spent by BPC. The oil exploration company raised around $73 million in March. Crevello outlined some of the costs associated with drilling, with seismic surveys ranging from $20-$35 million. Drilling a well can cost from $80-$150 million.
The BPC executive said these will require the finding of a business partner, which the company is actively searching for.
Officials from the Ministry of the Environment did not return calls up to press time. However, in a Guardian Business story last month the government noted it wasn’t any closer in granting approvals.
BPC holds five petroleum exploration licenses covering 3.87 million acres in Bahamian territorial waters and its maritime exclusive economic zone (EEZ). Four of the licenses, named Bain, Cooper, Donaldson and Eneas, are in the south-west Bahamas near the Cuban border. They vary in acreage from 775,468 acres to 780,316 acres. A fifth licence is held through a wholly-owned subsidiary of BPC, Island Offshore Petroleum Limited. The licenses expire on April 26, 2012, according to BPC’s web site.
