Act-Geo founder and owner Vitor Abreu stated on Friday that the potential discovery of oil and gas reserves off South Korea’s East Sea is “highly prospective,” citing the presence of key geological factors indicating the existence of hydrocarbons. Abreu highlighted that the location contains a reservoir, seal, source rock and trap. Act-Geo estimated the deposits could hold between 3.5 billion and 14 billion barrels of gas and oil, potentially meeting the country’s gas and oil demand for up to 29 and four years, respectively.

Abreu noted that the estimated success rate of 20% is “very good” but acknowledged the inherent risk, stating that drilling is the only way to “unrisk” uncertainties. He also addressed skepticism over Act-Geo’s legitimacy, emphasizing that small businesses participating in such projects are “industry standard practice.” Trade minister Ahn Duk-geun discussed the project’s importance for energy security and the national economy and announced plans to hold a strategic meeting this month to discuss development strategies.