Executive Summary
PetroLatina’s specific focus is to build an independent oil and gas company in Latin America that provides strong growth returns to shareholders whilst being both socially and environmentally responsible.
It is the Company’s intention to identify projects within three to four countries in Latin America that are capable of meeting the board’s technical and economic criteria and which fit with management’s experience in onshore operations in emerging markets.
The management of the Company also recognise that, although the primary aim of the company is to provide the potential for strong economic returns to its shareholders, it must do so in a manner which is environmentally sound and allows for the development of its staff in the countries in which it operates.
The Company has initially identified Colombia and Guatemala as countries in which to build core businesses. The directors consider that both countries are attractive for a number of reasons, including stable democratically elected Governments that seek foreign investment, and a geological environment favourable for hydrocarbon development.
Company History
Current Events
Colombia, a proven hydrocarbon system with an established oil and gas industry:
• Oil and gas fields have been discovered in seven sedimentary basins and in the Eastern Cordillera and there is estimated to be 1800 mmboe undiscovered reserves remaining (CIA World Fact Book 2004). Production in Colombia has been declining in recent years and the government is keen to attract foreign investment to boost this production.
• In the Middle Magdalena Valley Basin there are numerous good quality sandstone reservoirs and a 'world class' source rock. Deeper fractured carbonate reservoirs are under-explored.
• Safety in the country has improved significantly over the past years especially in the Middle Magdalena Valley where PetroLatina has its operations.
Guatemala, a relatively under-explored region, with a high level of prospectivity:
• Close proximity to Mexico and its highly productive fields
• The oil and gas fields along the southern margin of the south Peten Basin including Rubelsanto and the area covered by the license lie in a similar geological setting to the oil and gas fields in southern Mexico.
• The reservoirs under these fields are of the same age and the two areas have undergone a similar geological history. Many comparisons can therefore be made between the two areas as seismic and sub-service data suggest that the Chiapas southwestern geological trend extends into the Southern Peten (Chapayal) basin.
• The…
