Equinor expands Brazilian portfolio in Campos and Santos basin

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Energy giant Equinor has won additional blocks within the prolific Campos and Santos basins in the 4th production bidding round in Brazil.

The winning bid of 74.49% was shared out among Equinor, ExxonMobil and Petrogal Brasil, with Petrobras exercising its right to enter the consortium and will act as operator with 30% equity.

The final equity distribution is Petrobras (30% operator), Equinor (28%), ExxonMobil (28%) and Petrogal Brasil (14%) in a deal totalling over £508 million.

Tim Dodson, Equinor’s executive vice president for exploration, said: “We are very pleased with the opportunities secured in the 4th PSA round. The prolific basins offshore Brazil represents world class exploration acreage. The results from this and previous bid rounds have added highly prospective acreage to Equinor’s exploration portfolio, allowing us to maintain a significant activity and pursue high value prospects in Brazil in the years ahead.

The deal expands Equinor’s portfolio to include the Uirapuru and Dois Irmãos blocks, adding to to Equinor’s existing portfolio in the Brazilian pre-salt area, which includes BM-S-8 and Carcará North, both in Santos basin, and the BM-C-33 in the Campos basin, containing the Pão de Açúcar discovery.

Anders Opedal, Brazil’s country manager, said: “The outcome of this round further strengthens our position in Brazil, considered as a core area for Equinor. We are looking forward to working with our partners, the Brazilian authorities and Pré-sal Petróleo S.A. on the development of these new blocks. We have been increasing our investments in the country in the last two years and our expectation is that this will represent more jobs, taxes and, in the future, royalties that will benefit local communities.”

Steve Greenlee, president of ExxonMobil Exploration Company, added: “Uirapuru is a uniquely valuable block that represents tremendous opportunity for us. Brazil continues to represent a key investment for ExxonMobil, and we look forward to exploring and developing its world-class resources with our co-venturers and the government.”

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