The Ministry of Science and Energy has approved a two-year extension for United Oil and Gas (UOS) to continue oil and gas exploration activities in the Walton Morant Basin, offshore Jamaica.

As a result, the company’s agreement with the government will now expire on January 31, 2026, or continue if the company elects to move into the next exploration phase which will be the drilling of a well offshore Jamaica. 

The ministry says the extension comes as a result of comprehensive assessments, technical evaluations, and consultations that highlight the continued importance of the oil and gas sector.

During the extension, UOG will execute the necessary stakeholder engagement exercises required to perform in an environmentally sustainable manner. 

In addition to the planned work in the extension licence, the company will continue to identify potential partners from around the world to farm into the Walton Morant Production Sharing Agreement.

The UOG has exclusive rights to explore for oil and gas resources in the Walton Morant Basin by way of the production sharing agreement signed in 2014. 

Meanwhile, the government notes that Jamaica has seen a considerable uptick in major oil companies looking at its prospects as the hydro-carbon exploration in the region moves forward since last year.  

It notes that the aim of the Ministry of Science and Energy in 2024 and beyond will be to high-grade and de-risk identified prospects through international partnerships with an attempt to drill a well offshore, which will be the first in over 40 years.  

The ministry adds that it continues to remain cautiously optimistic in the search for oil and gas.