Efforts to find oil off Cuba may have failed, but the Bahamas Petroleum Company (BPC) – the only explorer searching for oil off the Atlantic archipelago – says it expects to find crude oil in The Bahamas.

BPC CEO Simon Potter recently noted that a seismic study by his company showed that the Great Bahama Bank may have oil at shallower water depths, making it easier to drill, and a layer of salt keeping the crude in place.
BPC is currently looking for a partner to raise at least $100 million to drill the country’s first exploration well in about 27 years.

It holds five licences covering more than 4 billion barrels of potential oil resources and is seeking three more with Statoil ASA.

Last month, the Christie administration gave BPC the green light to explore for oil.
Environment Minister Kenred Dorsett said the government wants to first see if there is oil in The Bahamas before proceeding with a voter referendum.

“Let’s go and bake the cake, let’s establish commercial reserves,” Mr. Potter said. Should a discovery be made, “there’ll be a much more positive issue to be managing.”

Mr. Potter has already noted that oil extraction could help The Bahamas reduce its mounting debt.
Government borrowings rose to 53 percent of gross domestic product last year from 32 percent in 2007, according to a December report by Moody’s Investors Service.

However, environmentalists are leery about drilling for oil, noting that it could destroy The Bahamas’ precious natural resources.