Exclusives

Blocks offered target both mature plays and new frontiers. 

The company is slowing total spending after lowering its oil price estimate next year to $70 a barrel.

Venezuela is experiencing a growing exodus of skilled oilfield workers as real wages for engineers have fallen to about 9% of the global average, dragging down oil production at a time when slumping crude prices threaten the country’s export revenue.

Through industry's support of long-term research, solutions to today's upstream challenges are found by looking for challenges of the future.

Teekay is due to sign a LoI with Petrobras to supply an FPSO for the operator’s ultradeepwater Libra Field offshore Brazil.

Deepwater International

Technip has clinched a major contract worth at least $559.2 million to supply a network of flexible pipes for the deepwater Lula Alto field offshore Brazil.

The issues related to Petrobras and the ongoing corruption probe in Brazil could lead to at least four major deepwater FPSO projects hitting at least a one-year delay, according to Portugal’s Galp Energia.

QGI Oil & Gas consortium has abandoned more than $1 billion worth of modules integration work on two identical FPSO vessels destined for one of Petrobras’ developments.

Petrobras has churned out announcement of yet another ultra-deepwater discovery but this time in the post-salt. 

Petrobras has highlighted the money it is saving through the utilisation of subsea equipment support vessels (SESVs) instead of drillships and rigs to install its subsea trees in the pre-salt offshore Brazil.

Exploration

The agreement that Harbour Energy Ltd. and Mexico’s ALFA had to buy Toronto-based Pacific Rubiales for CA$2 million fell through. ALFA’s CEO said the offer “correctly valued” Pacific Rubiales.

Brazil's competition authority CADE said it gave preliminary approval to the transaction "without restrictions," Reuters said.  Shell will be the largest foreign operator in Brazil after it buys BG.

In 2014, PetroRio transferred a controlling interest in Solimoes blocks to Rosneft, which struck deal with Petrobras to find ways to sell gas trapped in the remote Amazon, Reuters said. 

The transaction amounts to US $25 million and is subject to adjustments that are common to this type of operation, according to a news release.

The minimum working program for the exploration period includes geological surveys, seismic data gathering and exploration drilling, a news release said.

Production

Over the next 20 years, US$38 billion will be invested in Argentina’s Vaca Muerta Shale, Neuquen province governor said, Reuters reported. Lindero Atravesado and Bandurria fields will be developed. 

Perla is located in the Cardón IV Block, 50 km offshore in shallow waters in the Gulf of Venezuela. 

Rosneft OAO weighs whether to join Venezuela’s PDVSA in the Mariscal Sucre natural gas project offshore Venezuela, Bloomberg said. Venezuela might use the gas to phase out imports from Colombia. 

Milestone 800Mbbl/d oil production in Santos and Campos basin presalt fields was reached April 11. Petrobras’ share is about 74%. Remainder belongs to partner companies working in different presalt areas.

Test results confirmed two 24 m-thick light oil intervals in good-porosity reservoirs. Well 3-BRSA-1296-SES is third extension well in Moita Bonita area, discovered August 2012.

Technology

Main oil workers’ union FUP opposes Petrobras’ planned US$15.1 billion sale of assets, and the Brazilian Senate’s bill seeking removal of Petrobras’ right to development work in offshore Subsalt Polygon.

Ecuador’s state-run oil firm, Petroecuador, appointed Carlos Pareja Yannuzzelli as its new general manager. He replaces Marco Calvopina in the role. Yannuzzelli currently oversees overhaul of Esmeraldas refinery, Reuters said.

The concession in Peru's northern Loreto region produces about 12Mbbl/d day, about one-fifth of Peru's output, Reuters said. Perenco Ltd., Pluspetrol and Pacific Rubiales Energy want to bid.

Large and small E&Ps will compete for 182 onshore and 84 offshore blocks—including land basins near natural gas discoveries and deepwater areas, Bloomberg said.

Critical project equipment for offshore operations will be transported and stored by cargo carrying units under the seven-figure contract. Brazil plans to more than double production by 2020.