Exxon Mobil finds a reserve

Exxon Mobil Corp. made an oil and gas discovery in Papua New Guinea and signed a deal that would allow the oil company to explore for more off the coast of Ghana.

Exxon Mobil, headquartered in Irving, said it made the discovery in the western province of Papua New Guinea, an island nation located north of Australia. Exxon Mobil said it drilled an exploration well about 8,900 feet deep and found oil and gas in sandstone reservoirs, confirming that the gas-rich field encompassing the province’s Toro and Digimu sandstone reservoirs extends southeast.

The find adds to Exxon Mobil’s “rapidly growing inventory of low cost supply of natural gas” in Papua New Guinea, including to reserves acquired in its purchase of InterOil Corp, which closed early last year, the company said. Exxon also has boosted reserves with Papua New Guinea’ Hides gas field and a nearby discovery made in late 2016.

“We are continuing with our active onshore and offshore exploration program in an effort to provide additional resources to expand existing and planned development projects,” said Liam Mallon, president of Exxon Mobil Development Co.

Exxon Mobil, meanwhile, said it inked a deal with Ghana for exploration and production rigs in a deep-water block 57 miles off the coast of the West African country. The company said it expects to acquire and analyze seismic data later this year in a bid to explore the Deepwater Cape Three Points block, which stretches across 366,000 acres in depths of up to 9,350 feet of water.

The deal, subject to parliamentary approval, would give Exxon Mobil an 80 percent interest in the block, while Ghana’s National Petroleum Corp. holds 15 percent.

The other 5 percent of the block will go to another company in Ghana that Exxon Mobil and the government will identify.