BP announced on Monday a significant oil and gas discovery in Brazil’s prolific offshore Santos Basin, the supermajor’s biggest in 25 years.
BP’s exploration well in the deepwater Bumerangue block found an estimated 500 meter (1,640 ft) gross hydrocarbon column in high-quality pre-salt carbonate reservoir with an areal extent of greater than 300 square kilometers (116 square miles), the UK-based oil and gas major said in a statement.
BP plans further appraisal activities, subject to regulatory approval, in the block which it secured in a 2022 open acreage production sharing tender “on very good commercial terms.”
“We are excited to announce this significant discovery at Bumerangue, bp’s largest in 25 years,” said Gordon Birrell, BP’s executive vice president for Production & Operations.
“This is another success in what has been an exceptional year so far for our exploration team, underscoring our commitment to growing our upstream,” the executive added.
Bumerangue is BP’s tenth oil and/or gas discovery so far this year, including one in the Gulf of Mexico, as the company pursues increasing its oil and gas production following the strategy reset early this year.
BP has said it is increasing its investment in upstream oil and gas to $10 billion per year while slashing spending on clean energy by more than $5 billion a year.
In the upstream, BP will aim for 10 new major projects to start up by the end of 2027, and a further 8–10 projects by the end of 2030. Production is also expected to grow to 2.3–2.5 million barrels of oil equivalent per day (boed) in 2030, with capacity to increase to 2035.
For Brazil, a new major discovery in the Santos Basin aligns with its goal to boost oil and gas production.
“Brazil is an important country for bp, and our ambition is to explore the potential of establishing a material and advantaged production hub in the country,” Birrell said today.
By Tsvetana Paraskova for Oilprice.com
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