Learn more about Hart Energy Conferences
Get our latest conference schedules, updates and insights straight to your inbox.
HOUSTON--Brazil’s 13th licensing round will kick off in October, Eduardo Braga, the country’s minister of energy and mining told delegates at OTC’s topical luncheon “Brazilian Offshore Industry: The New Government Guidelines, Drivers and Perspectives” on Monday afternoon. He said the licensing round under the concession model will include 269 onshore and offshore blocks going under the hammer.
The blocks are a mixture of mature plays, new frontiers and high-potential basins. In the offshore areas, 10 blocks will be offered in the Sergipe/Alagoas Basin, four in the Jacuipe Basin and nine in the Camamu-Almada Basin. There also will be seven blocks offered in the Espirito Santo Basin, three in the Campos Basin and 51 in the new frontier Pelotas Basin. The remainder of the blocks will be onshore.
“We would like to invite all companies to bid for the 269 onshore and offshore areas in the bid round launching in October 2015,” Braga said. “They have very large potential.”
He also said that Brazil hoped to be able to establish a second bid round under the production-sharing model between 2016 and 2017, and the blocks are currently being “carefully” selected for the round in the presalt of the Campos and Santos basins.
“The Brazilian oil sector offers a good opportunity to invest, and there are already 110 companies working in exploration and production of oil,” Braga said. “The three biggest discoveries made in the last 10 years have been in Brazil at Lula, Libra and Buzios.”
He highlighted the size of opportunities available in the country and said that currently 20% of the world’s FPSO vessels are operating in Brazil, while 46% of FPSO vessels and platforms currently under construction are destined for the country.
“Some 40 new FPSO [vessels] will be operating in Brazil in a few years’ time, [including] 24 in the Buzios and Libra fields alone,” Braga said.
In the last five years, 36% of oil discovered worldwide has been in Brazil, amounting to some 22.9Bbbl. And 63% of deepwater discoveries made in the last five years also were in Brazil. There are no restrictions on oil exports from the country, and more than 500Mbbl/d were exported in 2014 by 17 companies as well as Petrobras, which was responsible for 45% of exports.
Braga also acknowledged that Brazilian oil giant Petrobras is facing serious challenges after it was hit by a corruption scandal but said it had the “full and unconditional” support of the government.
Recommended Reading
TotalEnergies Ups Stake in Two Blocks Offshore Namibia
2024-01-10 - TotalEnergies is acquiring an additional 10.5% participating interest in Block 2913B and an additional 9.39% participating interest in Block 2912.
Vast Appoints Two Additional Directors to Board
2024-01-12 - Vast’s appointment of Peter Botten and Tom Quinn brings the board’s recently expanded size to seven members.
Gevo Appoints Katie Ellet to Board of Directors
2024-01-07 - Gevo appointed Katie Ellet, who has held a variety of leadership roles in the chemical and energy industry, including serving as president of hydrogen energy and mobility for North America at Air Liquide.
APA Promotes Stephen J. Riney to President
2024-01-10 - Stephen Riney joined APA in 2015 and has served as the company’s executive vice president and CFO.
Dorchester Minerals Announces Retirement of James E. Raley
2024-01-05 - Dorchester’s board designated Raley as manager emeritus in recognition of his service.