Suriname's Grand Oil Leap: TotalEnergies and APA Corp Greenlight $10.5 Billion Offshore Project

France's TotalEnergies and U.S. APA Corp have approved a $10.5 billion investment in Suriname's Block 58, marking the nation's entry into offshore oil production. The project aims to follow Guyana's successful footsteps, boosting Suriname's economy with an expected start date in 2028.

The decision marks a significant milestone for Suriname as it ventures into offshore oil production. France's TotalEnergies and U.S. APA Corp announced the $10.5 billion investment for Suriname's Block 58, set to kick off in the first half of 2028.

The financial green light aims to replicate the oil boom in neighboring Guyana, where Exxon Mobil has found substantial recoverable resources. Suriname hopes its advanced legal framework, including better royalties and taxes, will maximize returns, with funds earmarked for healthcare and local development.

Among those present at the announcement were Suriname's President Chan Santokhi, TotalEnergies' CEO Patrick Pouyanne, APA's CEO John Christmann, and Staatsolie's CEO Annand Jagesar. Planned development includes the Sapakara and Krabdagu fields, expected to yield over 700 million barrels. An FPSO facility with a 200,000-barrel-per-day capacity is being built in Asia for this project, representing a significant chunk of the $7 billion in associated contracts.

(With inputs from agencies.)