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BiggerScientific study reveals oil generation potential in Dominican Republic’s basins
Santo Domingo.- A collaborative study conducted by the Dominican Oil Refinery (Refidomsa) and Pedro Henríquez Ureña University (Unphu) has revealed that four basins in the Dominican Republic have reached the necessary depth, pressure, and temperature conditions for oil generation.
These findings are detailed in the report titled “Geochemical Modeling in the Azua, San Juan, Cibao, and Enriquillo Basins,” which builds upon a previous document presented in February. The earlier report had identified the presence of geological hydrocarbon formations.
Yamily López, the general manager of Refidomsa, emphasized that the insights from these studies are accessible to potential investors interested in entering the commercial oil sector. She also highlighted the strategic importance of these investigations for the Dominican State.
“These reports are the outcome of rigorous scientific investigations conducted by our technical team. They form part of a strategy led by Dr. Leonardo Aguilera, the president of the board of directors, aimed at deepening our understanding of the country’s oil basins,” López explained.
The study affirms that these scientific discoveries will bolster ongoing research efforts, aiming to precisely and reliably document the presence of oil and natural gas in the national territory.
The research team includes Gregorio Rosario, the deputy director of Refidomsa’s Research and Exploration Unit, along with Vera Cedeño Pérez, Ricardo Reynoso Villafaña, Mario García González, Mauricio Vásquez, Claudia Acra, Rosill Rodríguez, Gian Caolo, and Johnny Gregorio Cedeño.
Every once in a while, a story such as this one raises its head to pique our interest. It is most curious there are few, if any, oil prospectors willing to invest in oil generation in the RD. If the cost of finding and extracting the oil exceeds its profit potential, there is no incentive to invest.
Refidomsa and Unphu are on a fool’s errand. Where are the investors they are looking for?
The issue with dominican oil search is that the law is from 1954 and does not guaratee that if oil is found the exploration company will get the rights of extraction, its modification died misterously in the senate. All the oil wells drilled in DR are shallow (less then 500 meters) while most oil in the region its usually located at depths beyond 3000 meters.
Your point is valid. It goes in hand if exploration companies cannot obtain a profit because of crude prices and added costs of rights of extraction there is no reason for them to explore.