Exclusives

Rafael Cruz, Petrobras, Lula, field, oil

Production from the field is pushing Petrobas closer to its 1-MMbbl/d presalt goal

Brazil, opportunity, Mayer Brown, Operation Car Wash, assets, oil, production, Petrobras, offshore, divest

The corruption scandal hits debt-laden Petrobras hard during one of the worst downturns in the oil and gas sector’s history. But it’s not all bad news for potential investors.

A novel scale inhibitor formulation optimizes artificial lift in mature, calcium-rich wells in an Argentine field.

Like in many shale plays around the world, players interested in the Vaca Muerta Formation must overcome steep learning curves and find adequate financing. But the prize is there. 

Cow, McClendon, JV, American Energy Partners, Argentina, Vaca Muerta, shale, YPF, farm in, Jessica Garrison, Stratas

The Oklahoma City company and Argentina's state-run firm plan to invest more than US$500 million in developing the Vaca Muerta Shale over the next three years.

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

Ecuador produces an average of 540 Mbbl/d, including output by private producers, Reuters reported. 

The BuriedArray system will be used for microseismic monitoring for four lateral wells in the Neuquén Basin.

The agreement will give Statoil 66% ownership and operator status in a block that is home to Carcará, a prospect that Statoil says contains 700 million to 1.3 billion barrels of oil and equivalent natural gas.

Additionally, the aging wells come with large future costs for safe closure under environmental and other laws, Reuters reported.

In an eight-year period, Pacific Exploration drilled more than 1,000 wells and invested more than US$5 billion in E&P at the Rubiales Field. 

Production

"Incahuasi is one of the largest gas and condensate fields brought onstream in Bolivia," Arnaud Breuillac, head of the group's E&P unit, said in a statement.

Oboe-1 further appraises the Clarinete gas field structure and adds 38 Bcf of additional gas reserves to Canacol's portfolio of 3-P gas reserves of 419 Bcf.

Jacana 4 was drilled in 8.8 days at a total drilling and completion cost of $2.9 million.

FPSO Cidade de Saquarema is capable of processing 150,000 barrels of oil and compressing up to 6 million cubic meters of gas per day. The vessel is anchored at a water depth of 2,120 meters, the release said.

Petrobras said oil production reached a daily average of 2.3 MMbbl/d in June, also 2% higher than in May, Reuters reported.

Technology

Lowered output volume and lower global oil prices have forced President Nicolas Maduro to choose between paying external debt or supplying the dollars needed to sustain imports of basic goods, Reuters reported.

Tensions flared in June 2015 under Macri's predecessor, Cristina Fernandez, when an Argentine federal judge ordered the seizure of millions of dollars' worth of assets owned by drillers operating in the Falklands area, Reuters reported.

The shipbuilder, which is entangled in the massive Operation Car Wash corruption investigation and as a result has struggled to secure fresh financing, won a contract to build eight hulls for Petrobras, as the company is known, by 2018. Four have already been delivered.

Certain it would obtain the huge contract to drill 600 wells, Trenaco began hiring staff and buying equipment months before winning the tender, according to four high-ranking sources from the now-liquidated company, Reuters reported.

A Hague arbitration court awarded the U.S. company $96 million in 2011 in a dispute stemming from a 1973 deal that called for Texaco, later acquired by Chevron, to develop fields in exchange for selling oil to Ecuador at below-market rates.