The uncertainty surrounding Lebanon’s first offshore licensing round is complicating the Lebanese Petroleum Administration’s (LPA) efforts to answer questions as to what potential subsea hydrocarbons the country has. While all of Lebanon’s offshore has been spanned by 2-dimensional seismic surveying and 70 percent has been covered by 3-dimensional seismic, the LPA wants to collect even more data to better identify potential resources.
The strategy, according to Wissam Chbat — head of geology and geophysics for the LPA — is twofold. More data would give international oil companies a better idea of where to drill once exploration and production sharing contracts are awarded — theoretically shortening the time between awarding contracts and exploration drilling and reducing exploration and investment risk — and additional information could strengthen the government’s negotiating position so the state gets a higher take when negotiating contracts.