On 8 December 2017, Carso Oil and Gas signed the contracts with the CNH and was granted official final awards for the CNH-RO2-L03-CS-04/2017 and CNH-RO2-L03-CS-05/2017 contracts from the CNH-RO2-LO3/2016 Bid Round.Â  The CNH-RO2-L03-CS-04/2017 contract is also known as the Area 12, CS-04 block.Â  The CNH-RO2-L03-CS-05/2017 contract is also known as the Area 13, CS-05 block.Â  Carso formed a separate subsidiary, Operadora Bloque 12, S.A. de C.V. and Operadora Bloque 13, S.A. de C.V. both with 100% working interest as the official designated operating companies for the blocks.Â  The 244.8 sq km CNH-RO2-L03-CS-04/2017 contract has a total financial commitment of USD 20.48 million, USD 14.3 million in work commitments and two additional wells plus the tie-break bonus of USD 6.18 million.Â  The 233.6 sq km CNH-RO2-L03-CS-05/2017 contract has a total financial commitment of USD 36.17 million, USD 23.00 million in work commitments and two additional wells plus the tie-break bonus of USD 13.17 million. On 12 July 2017 Carso Oil and Gas was the high bidder in the CNH-RO2-LO3/2016 Bid Round for the Area 12 and Area 13 blocks in the Sureste Basin and was granted preliminary awards. Â  For the 244.80 sq km Area 12 block there were three other bids with one offering the maximum additional royalties and work units factor.Â  Carso offered the maximum additional royalties of 40% and 1.5 work unit factor equivalent to two additional wells.Â  It won the tie-break for the block offering a bonus bid of USD 6.18 million.Â  The second highest bid was by the consortium of Shandong, Sicoval, and Nuevas Soluciones who offered a bonus of USD 2.18 million.Â  Â  For the 233.60 sq km Area 13 block there were two other bids for the block all offering the maximum additional royalties and work units factor.Â  Carso offered the maximum additional royalties of 40% and 1.5 work unit factor equivalent to two additional wells.Â  It won the tie-break for the block offering a bonus bid of USD 13.17 million.Â  The second highest bid was by the consortium of Shandong, Sicoval, and Nuevas Soluciones who offered a bonus of USD 2.35 million.Â  Â  Carso Oil and Gas has 100% working interest in the contracts. The general license contract terms include a 1st exploration period of two years with the possibility of a two-year extension.Â  In the case of a discovery the operator can request a two-year evaluation phase for oil and a three-year evaluation phase for non-associated gas discoveries once the evaluation plan is approved.Â  The total contract term is for 30 years with the possibility of two five year extensions for a 40-year total contract term from signature date. The base royalty rate is a sliding scale royalty depending on type of hydrocarbon and oil price.Â  The values for oil range from 5% for USD 40/bbl oil to 25% for USD 200/bbl oil.Â  The relinquishment schedule is tied to exploration well commitments.Â  If the exploration period ends but the operator offers to drill an additional well it doesnât have to relinquish any area.Â  If the exploration period ends and the contractor doesnât have any discoveries it must relinquish 100%.Â  If the exploration period ends and the operator doesnât offer to drill an additional exploration well it will have to relinquish 50% of the area.Â  Local content during the exploration period is 26% for the exploration and evaluation period, and varies from 27% to 38% in the development period.
Mexico (Sureste B.) (It's a petroleum rights. Please summarize by yourself). In IHS database: 12 op. by LUKOIL (100.0%) to be check.2 op. by PEMEX (50.0%, RWE 50.0%) to be check.Area 13 op. by SHELL (50.0%, TOTAL 25.0%, EXXONMOBIL 17.5%, STATOIL 7.5%) to be check.14 op. by ENI SPA (60.0%, CITLA 40.0%) to be check.