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Market Chatter: Occidental to Acquire 10% Stake in Offshore Trinidad Exploration Block

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Occidental Petroleum (OXY) is acquiring a 10% stake in Exxon Mobil's (XOM) deepwater exploration block offshore Trinidad and Tobago, according to a Reuters report on Tuesday that cites two sources familiar with the matter

The move is expected to give the US shale producer exposure to one of the Caribbean's most closely watched oil prospects.

The offshore block, known as UD(1), lies in waters between 2,000 and 3,000 meters deep and was awarded to Exxon in August 2025.

Exxon is currently conducting seismic surveys in the block, with data acquisition expected to conclude by the end of July, John Ardill, the company's vice president for global exploration, said earlier this month at the Offshore Technology Conference in Houston.

Interpretation of the seismic data could be completed by the end of 2026, Ardill said.

The Trinidad acreage borders Guyana's prolific Stabroek Block, where Exxon and its partners have made more than 30 discoveries that transformed the South American nation into one of the world's fastest-growing oil producers.

Geological similarities between the two areas have fueled industry expectations that Trinidad's deepwater acreage may hold significant untapped oil and gas reserves.

Trinidad and Tobago has been seeking new upstream investment as production from its mature oil and gas fields declines, threatening feedstock supplies for the country's liquefied natural gas sector.

Last week, Exxon Trinidad country manager Paul Riley, business development manager Gboyega Ayeni and Occidental Vice President for International Exploration Pedro Romero met with Prime Minister Kamla Persad-Bissessar and Energy Minister Roodal Moonilal, according to a statement from Trinidad and Tobago's energy ministry.

Occidental Petroleum, Exxon Mobil and Trinidad and Tobago's energy ministry did not immediately respond to requests for comment from.

Exxon is expected to decide whether to drill an exploration well after reviewing the seismic data, a move that could provide the first indication of the block's commercial viability, the report said.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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