Brazil oil production rose 0.8% in June from May to an average of 2.675 million barrels per day (MMbbl/d) as output from presalt offshore wells surpassed the combined volumes from all other fields in the country for the first time.
The production from the presalt oil areas jumped to 1.353 MMbbl/d on average in June, growing 6.4% from May, according to Brazil’s oil sector watchdog ANP.
Discovered only 10 years ago, this production area has rapidly become the top priority for Brazil’s state-controlled oil company Petrobras and other oil majors holding exploration rights to some of its large reserves.
The presalt field known as Lula, which holds per-well production rates higher than the industry average at around 25,000 barrels per unit, reached production of 763,000 bbl/d on average in June.
Lula is the largest presalt producing field in Brazil, operated by Petrobras (65%) in a consortium that includes Royal Dutch Shell Plc (25%) and Petróleos de Portugal SA (10%).
Petrobras accounted for 2.07 MMbbl/d on average of oil production in Brazil in June, with Shell in second place among large producers with 314,000 bbl/d. Repsol Sinopec was the third largest producer with 81,000 bbl/d.
ANP also said on July 31 that natural gas production reached 111 million cubic meters per day in June, 6.1% above May’s figures.
Recommended Reading
Shipping Industry Urges UN to Protect Vessels After Iran Seizure
2024-04-19 - Merchant ships and seafarers are increasingly in peril at sea as attacks escalate in the Middle East.
Paisie: Crude Prices Rising Faster Than Expected
2024-04-19 - Supply cuts by OPEC+, tensions in Ukraine and Gaza drive the increases.
Report: Freeport LNG Hits Sixth Day of Dwindling Gas Consumption
2024-04-17 - With Freeport LNG operating at a fraction of its full capacity, natural gas futures have fallen following a short rally the week before.
Permian NatGas Hits 15-month Low as Negative Prices Linger
2024-04-16 - Prices at the Waha Hub in West Texas closed at negative $2.99/MMBtu on April 15, its lowest since December 2022.
BP Starts Oil Production at New Offshore Platform in Azerbaijan
2024-04-16 - Azeri Central East offshore platform is the seventh oil platform installed in the Azeri-Chirag-Gunashli field in the Caspian Sea.