PETROLEUM EXPLORATION IN DEVELOPING COUNTRIES AND CONSIDERATIONS ABOUT ITS FINANCING

Abstract

Although the rate of petroleum produced per foot drilled is much greater in the developing regions of the world, levels of petroleum exploration activities in the these areas are much lower than in the United States. Although exploration levels in the developing countries might have been expected to rise after the 1973/74 price increase, they actually tended to decrease. Classification of the developing countries in terms of the levels of exploration and development they have attained reveals that the greater part of the area with good petroleum potential (57 per cent of non‐OPEC countries) is comprised of countries where significant exploration has already taken place. There is a need for international assistance to increase exploration levels in the developing countries. A schedule of priorities for various forms of international assistance is suggested.