Total wins exploration license in Chile

France based oil company, Total has been awarded the Otway exploration license it applied for under the 2007 Exploration Licensing Round of the Chile’s Minister of Mine.

Total will have a 100% interest in Otway Block. Covering an area of 5,965 square kilometres, this block is located in the foothills domain of the Magallanes Basin, immediately West to Punta Arenas, and around 160 kilometres West to onshore installations of Total Austral in Tierra del Fuego (Argentina).

Under the terms of the contract, which should be signed in the coming months, Phase 1 of exploration will be launched in 2008 and will include 1,500 square kilometres of 3D seismic acquisition followed by the drilling of two wells.

Total’s entry into Chile is in line with its strategy of diversifying its exploration assets.