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Honduras forms the central part of the Chortis continental block that includes southern Guatemala, El Salvador and most of Nicaragua. The Cocos Pacific plate has been subducting under the south coast of Chortis from early Mesozoic time to the present whilst Caribbean ocean crust has been subducted under the north coast from the late Mesozoic.
Regional subsidence during the early Cretaceous was responsible for thick carbonate platforms in the central Yojoa Basin and the offshore northeastern Mosquitia Basin of Honduras. Albian carbonates are the prime potential source rocks offshore. Reservoir rocks may be fractured Albian limestones sealed by Upper Cretaceous and Paleogene shales. However Neogene rifting associated with renewed plate movement has uplifted a large part of the Chortis block and probably breached most of the structures.
However Globalshift believes that the Mosquitia and neighbouring Patuca Basins may still have potential offshore along the northeast coast. Here Tertiary sediments overlie two shelf areas with thick Albian carbonates. Structures are present on seismic data and oil has been recovered from a limestone bed in the Main Cape-l well drilled in 1973. Onshore, in the Caribbean coastal areas, oil and gas seeps have been reported.