Uruguay’s offshore continues to make waves

With Chevron and AIM-listed Challenger Energy having completed their Uruguayan farm-out deal, Challenger CEO Eytan Uliel updates Petroleum Economist on the firm's progress in the frontier basin

Atlantic-margin focused E&P company Challenger has completed its farm-out of Uruguay’s OFF-1 offshore block to Chevron, receiving $12.5m and retaining a 40% interest. As part of the deal, the major will cover the costs of a planned 3D seismic survey of the block. Challenger CEO Eytan Uliel gave Petroleum Economist an update on the partners’ exploration plans and the state of play in the frontier basin. The Chevron deal was announced in March, but since it was the first farm-out agreement concluded in Uruguay, it took some time to finalise as “the authorities were figuring out how to appropriately implement the various approvals required”, explained Uliel. “The Uruguayan regulatory bodies