New discovery at the Tupi field confirms Tupi potential and another new discovery in an ANP block, to be included in onerous concession contract with Petrobras.
In early April 2010 Petrobras Petróleo Brasileiro S.A. announced that it finalized the drilling of another well in the Tupi field which confirms the potential of the pre-salt reservoirs in that field.
The new well, 3-BRSA-795-RJS (3-RJS-666), and informally known as Tupi OW, is located in the area of the Tupi Evaluation Plan, at a depth of 2,131 meters, nearly 270 km of the coast of Rio de Janeiro, and 12.5 km northeast of the discovery well, 1-RJS-628 (1-BRSA-369), known as Tupi.
The discovery was proven through light oil samplings (approximately 25º API) collected via a cable test from reservoirs located at depths greater than those of previously drilled wells. The discovery was subsequently notified to the National Petroleum Agency (ANP). This result reinforces the estimate of potential recovery of 5 to 8 billion barrels of light oil and natural gas for the whole Tupi pre-salt area.
The Consortium, formed by Petrobras (65% - Operator), BG Group (25%), and Galp (10%), to explore block BM-S-11, where Tupi is located, will carry on with the activities and investments called for in the Evaluation Plan, which was approved by the ANP and foresees the drilling of other wells until the declaration of commerciality, which is expected to be made in December 2010.
Mr. Haroldo Lima, Director of ANP recently confirmed that the recent discovery of a new reservoir in a pre-salt not in the bidding list for the next bidding round will most probably not have enough volume to cover the onerous concession contract, through which Petrobras will have the rights to explore certain areas within a limit of 5 billion barrels, in order to capitalize the company. Petrobras will pay back the government by acquiring federal public debit papers. The government will have the right to subscribe Petrobras shares, increasing its participation in the company. Lima did not confirm that the discovery in well 2-ANP-1-RJS has recoverable reserves of 2 billion barrels, but maintains he is optimistic about the reservoir potential. If this discovery does not reach 5 billion barrels, new wells will be drilled until the balance is reached.
The oil in this well will most probably be used by ANP to capitalize Petrobras. According to the onerous concession contract, Petrobras will receive 5 billion barrels from specific non tendered pre-salt areas. Petrobras has made a statement, concerning news published by the Brazilian press, clarifying that it is working with the expectation that the Bills sent to the National Congress will be approved, and that the capitalization, with the Transfer of Rights will take place no later than at the end of July of this year.
In block BM-S-11, which includes the Tupi and Iara areas, Petrobras has already completed 6 wells in Tupi (1-RJS-628, 3-RJS-646, 4-RJS-647, 3-RJS-662, 9-RJS-660 and 3-RJS-666) and one in Iara (1-RJS-656). It is already expected the drilling of an additional well in Iara and 7 exploratory wells and one production well in Tupi, totaling 16 wells.
Photo courtesy of Petrobras