SECURITIES AND EXCHANGE COMMISSION


                             Washington, D.C. 20549


                                    FORM 8-K


                                 CURRENT REPORT


     Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

          Date of Report        July 3, 2002
         (Date of earliest event reported)      July 1, 2002


                            SEVEN SEAS PETROLEUM INC.
             (Exact Name of registrant as Specified in its Charter)

          Cayman Islands                   0-22483             73-468669
(State or Other Jurisdiction of    (Commission File Number)  I.R.S. Employer
 Incorporation or Organization)                           Identification Number)


                5555 SAN FELIPE, SUITE 1700, HOUSTON, TEXAS 77056
              (Address of Principal Executive Offices)    (Zip Code)


       Registrant's telephone number, including area code: (713) 622-8218

<PAGE>

Item 5. Other Events

     The  Company   announced  on  July  1st  that  we  have  suspended  further
development drilling in the Guaduas Oil Field pending a reassessment of recently
drilled wells,  current  production data, and the results of planned  production
enhancement efforts on existing wells. Possible modifications to the development
drilling  program include the employment of horizontal  drilling  techniques and
the selection of different well locations.

     At the end of May,  the Company  commenced  gas  injection  operations  and
planned to proceed with reconfiguration of several electric submersible pumps in
an attempt to optimize  oil  production.  The Company is also now  contemplating
hydraulic  fracture  treatments on several of the existing wells.  The impact of
these operations may not be known for several months.

     The  Company is  presently  injecting  approximately  40 percent of planned
initial gas volumes.  Injection  levels should  increase upon  installation of a
high pressure compressor,  scheduled for delivery later this month. However, due
to possible gas encroachment in certain parts of the reservoir,  the Company now
believes that current  production  rates,  which  averaged  approximately  6,800
barrels of oil per day (3,100 net to Seven Seas) for the month of June,  may not
be materially improved by gas injection.

     As a result of the  reduction in  production  rates and the  suspension  of
development  drilling,  Seven Seas does not believe that Guaduas Oil Field gross
production  will reach the targeted  18,000 to 25,000  barrels of oil per day by
the end of 2002.  The  Company is not  prepared to  estimate  future  production
levels until these reassessment efforts are completed.

El Segundo 5-N Update

     Additionally,  the Company  reported  that the El Segundo  5-N, the seventh
Guaduas Oil Field  development  well,  initially tested up to 500 barrels of oil
per day before being shut in for a forty-eight hour pressure build-up test.

Escuela 2 Update

     Seven  Seas  also  reported  that  the  Escuela  2  well  was  drilling  at
approximately  18,770 feet over the weekend when the  penetration  rate abruptly
fell to near zero.  Shortly  thereafter,  the well experienced  significant lost
circulation.  When  circulation  was  regained,  fine to medium grain  sandstone
cuttings were brought to the surface.  Although these  characteristics are often
indicative of a reservoir  formation,  it is premature to draw conclusions.  The
Company  does not know  whether  the well has  crossed  the  Cambao  fault  that
separates the overthrust and subthrust formations.

     To ensure the  integrity of the well bore,  the Company is currently in the
process  of  preparing  to run 7 inch  casing to total  depth and plans to drill
ahead  when the  casing  is in  place.  The  Company  does not  expect to resume
drilling for several days.

Item 7.           Financial Statements and Exhibits

         (c)      Exhibits

Exhibit
No.               Description
-------           -----------

10                July 1, 2002 press release

<PAGE>
                                   SIGNATURES

     Pursuant to the  requirements  of the Securities  Exchange Act of 1934, the
registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned hereunto duly authorized.

                                    SEVEN SEAS PETROLEUM INC.

                                    By:   RONALD A. LEFAIVE
                                    Name: Ronald A. Lefaive
                                    Title: Vice President of Finance and Chief
                                           Financial Officer

Date:  July 3, 2002
<PAGE>
                                INDEX TO EXHIBITS

Exhibit
No.               Description               Method of Filing
-------           -----------               ----------------

10         July 1, 2002 Press release       Filed herewith electronically