QatarEnergy announced on May 20 that it has acquired participating interests in three exploration blocks located offshore the Oriental Republic of Uruguay from BG International Limited, a subsidiary of Shell.
The acquisition marks QatarEnergy’s first entry into Uruguay’s upstream sector and expands its presence in South America. The agreements give QatarEnergy an 18% interest in block OFF-4, with Shell holding 32% and APA Corporation, the operator, retaining the remaining 50%. In block OFF-2, QatarEnergy has acquired a 30% interest while Shell operates with a 70% stake. For block OFF-7, QatarEnergy now holds a 30% interest; Shell is the operator with a 40% share and Chevron owns the remaining 30%.
His Excellency Saad Sherida Al-Kaabi, Minister of State for Energy Affairs and President and CEO of QatarEnergy, said: “We are pleased to strengthen our relations with our strategic partner Shell through these agreements, which mark our first entry into Uruguay’s upstream sector while further expanding our footprint in South America.”
Al-Kaabi also said: “We would like to thank the Uruguayan authorities for their support, and we look forward to working with our partners on this opportunity and to achieve positive results for the benefit of all parties.”
Blocks OFF-2, OFF-4, and OFF-7 are situated offshore along Uruguay’s Atlantic coast. These areas cover between approximately 11,155 to 18,227 square kilometers each and range from water depths of about 40 meters up to around 4,000 meters.
The agreement represents an expansion strategy by QatarEnergy as it seeks opportunities beyond its traditional markets.
