SAN RAMON, Calif. (AP) — Chevron Corp. said Wednesday that it will receive a 50 percent working interest in two drilling blocks off the coast of Suriname through an agreement with Kosmos Energy Ltd.
Financial terms were not disclosed.
Under the agreement, Kosmos will have a 50 percent working interest and remain operator of both blocks through the end of the exploration phase. Chevron will assume the remaining 50 percent interest and will be the operator after any commercial discoveries, the company said.
The blocks cover a combined area of about 2.8 million gross acres, at water depths ranging between 650 and 8,500 feet, Chevron said.
Kosmos, based in Bermuda, is an oil and gas exploration company focused on Africa and South America.
Chevron shares fell 71 cents to $103.35 in afternoon trading. Kosmos fell 22 cents to $11.76.