QatarEnergy signs production sharing contracts for Suriname offshore blocks

QatarEnergy has signed two Production Sharing Contracts (PSCs) for Suriname’s offshore Blocks 64 and 65, which it had won during a bid round held in June 2023, the company said.

Pursuant to the signed contracts, QatarEnergy will own a 30% working interest in block 64, while TotalEnergies (the operator) will own 40%, and Petronas will own 30%, it said in a statement. QatarEnergy will also own a 40% share in Block 65, while Shell (the operator) will own 60%.

His Excellency Saad Sherida Al-Kaabi, Qatar's Minister of State for Energy Affairs and the President and CEO of QatarEnergy, said: “We are delighted to sign the production sharing contracts for blocks 64 and 65, which will increase our working footprint in the promising basins of Suriname. We are also pleased to work with TotalEnergies, Petronas, and Shell in these blocks, and we look forward to achieving good results for the benefit of all parties involved.”

Both blocks 64 and 65 are located about 200-250 km offshore Suriname in water depths of about 1,300-1,700 meters, QatarEnergy said.

"I would like to take this opportunity to thank the Surinamese authorities and Staatsolie for their commitment and support that resulted in the signing of these agreements," Al-Kaabi added. 

Shell, TotalEnergies, QatarEnergy and Petronas already have a presence in the South American country, and TotalEnergies is expected to make a final investment decision next year on Suriname's most promising exploration Block 58.

In a separate statement, Kevin McLachlan, TotalEnergies' Exploration Director, said: “This new block fits perfectly with our strategy, which is to focus our exploration activity on low-cost, low-emission material resources in key areas for the company,”