MercoPress. South Atlantic News Agency

October 10 begins bidding process for Magallanes oil

Oil field at Magallanes region

Next October 10 begins the timetable for oil corporations interested in the bidding process for hydrocarbons exploration and production in the Magallanes Region in the extreme south of Chile.

Twenty international consortiums, according to Chile's government owned petroleum company, ENAP, acquired the bidding conditions and interest has focused on three (low risk) of the ten blocks to be licensed. Two of them are in continental Chile, Coirón and Tranquilo and the third Cuapolican is in Tierra del Fuego. Under bidding conditions Coiron and Caupolican can only be explored in association with ENAP. Tranquilo and the remaining six blocks must be explored and exploited entirely by the private sector. According to the ENAP timetable on October 11, envelopes with the administrative bids will be opened and registered, and on October 29, results and qualification will be made public. October 31 envelopes with the economic terms of the bids will be opened and registered. November 15 is the date scheduled for awarding licences. Reports from Punta Arenas press indicate that representatives from most of the twenty corporations that have shown an interest and purchased bidding conditions have requested additional information from ENAP Magallanes.