Jamaica could move to drill for oil off the coast of St Thomas within the next two years following encouraging early findings from a recent geo-chemical survey.
The study, conducted by independent oil company United Oil and Gas, confirmed the presence of hydrocarbons in offshore soil samples — a key indicator of potential petroleum deposits.
Science, Energy, Telecommunications and Transport Minister Daryl Vaz said the results represent an important step forward but cautioned that Jamaica remains some distance away from actual production.
“The results are very positive, but they are positive scientifically. They have seen traces; they haven’t seen or touched the real deal,” Vaz said during Wednesday’s post-Cabinet press briefing.
He noted that while the findings have generated interest, significant investment will be required to move to the next phase of exploration.
Drilling a single well is estimated to cost between US$60 million and US$80 million, with at least 14 wells likely needed. The Government is now seeking international partners to help finance the venture.
“It’s big money for us, but in the oil business that is not big money,” Vaz said.
He added that representatives of United Oil and Gas have already begun engaging potential investors and are seeing growing interest from major drilling companies.
“These are companies that would not have answered their calls a year ago,” he noted.
Even if funding is secured, Vaz said drilling would not begin before late 2027 or early 2028. He stressed that any move toward drilling would be subject to environmental and social impact assessments, stakeholder consultations and Cabinet approval.
United Oil and Gas currently holds only an exploration licence, meaning further negotiations with the Government will be required before any drilling agreement is finalised.
“I remain cautiously optimistic but definitely encouraged,” Vaz said, pointing to the potential for the project to provide a much-needed boost to the country.
