Petronas, Chevron sign production contracts for offshore areas in Suriname

Nov 5 (Reuters) - Two consortia led separately by Malaysia's Petronas PETRA.UL and U.S. Chevron CVX.N have signed production-sharing contracts with Suriname's Staatsolie to explore and develop two offshore areas in the South American country, the state company said on Wednesday.

Under the 30-year contracts, Staatsolie will conduct a competitive process to select foreign companies to explore and produce oil and gas in those areas if reserves are confirmed. Suriname is expected to inaugurate offshore output soon through a $12 billion project operated by TotalEnergies TTEF.PA.

The consortia also include QatarEnergy and Paradise Oil Company, Staatsolie said in a release.

A Petronas unit will operate Block 9, while Chevron will operate Block 10. The shallow-water blocks are located some 50 kilometers (31 miles) from Suriname's coast of Saramacca.

"The initial phase of the exploration period will last three years, during which the focus will be on acquiring and processing 3D seismic data to map the subsurface structure," Staatsolie added.