Production From Offshore Pre-Salt Oil Deposits Has Increased Brazil’s Oil Production

graph of top ten global producers of petroleum and other liquids, as explained in the article text

Source: U.S. Energy Information Administration, International Energy Statistics

Brazil has produced 3.3 million barrels per day (b/d) of petroleum and other liquids so far in 2017, according to data through August, up from 3.2 million b/d in 2016, making it the ninth-largest producer of petroleum and other liquids in the world. Production of crude oil in Brazil increased in recent years as producers targeted large, offshore, pre-salt oil deposits. Brazil's pre-salt oil production in 2016 reached a record 1.02 million b/d, surpassing the 2015 production level by 33%.

Pre-salt oil deposits are located offshore under deep, thick layers of rock and salt and require substantial investment to extract. The depths and pressures involved in pre-salt production present significant technical hurdles. Despite these challenges, however, pre-salt crude oil production in Brazil has increased significantly since it began in 2009.

Pre-salt resources were first discovered in Brazil's offshore Santos Basin in 2005 by state-controlled Petrobras, the dominant participant in Brazil's oil sector. Further exploration in the Santos, Campos, and Espirito Santo basins revealed an estimated 5 billion to 8 billion barrels of oil equivalent in a pre-salt zone 18,000 feet below the ocean surface.

graph of Brazil crude oil production, as explained in the article text
Source: U.S. Energy Information Administration, based on Agência Nacional do Petróleo, Gás Natural e Biocombustíveis

With the exception of the Libra field, all pre-salt areas currently under development were granted to Petrobras without competition. The Libra field was the first to be auctioned under Brazil's new production-sharing model, and it is operated by Petrobras (40%) as part of the international consortium whose other partners are Total (20%), Shell (20%), and Chinese national oil companies China National Offshore Oil Corporation (10%) and China National Petroleum Corporation (10%).

The Libra field—the largest pre-salt oil discovery to date in the Santos Basin—began producing for the first time in November 2017. The field is located approximately 106 miles off the coast of Rio de Janeiro in water depths up to 11,500 feet. According to Brazil's National Agency of Petroleum, Natural Gas, and Biofuels (ANP), the Libra field is estimated to hold 8 billion to 12 billion barrels of recoverable reserves.

Using a floating production, storage, and offloading vessel (FPSO), early production from Libra has been about 50,000 b/d. Development of the field is expected to continue in the 2020s with the deployment of another FPSO that has a production capacity of 150,000 b/d. ANP estimates that peak production at Libra could eventually reach 1.4 million b/d.

More information about Brazil's energy sector is available in EIA's Brazil Country Analysis Brief.

Principal contributor: Natalie Kempkey

Visit source site


BrazilCrude oilLiquid FuelsProductionOffshorePre-SaltEIAEnergy Information Administration EIA

More items from oilvoice

Tullow Oil: Pricing of $800m Senior Notes

16 March 2018 - Tullow Oil plc (“Tullow” or the “Company”) is pleased to announce that it has priced its offering of $800 million aggregate principal amount of 7% senior notes due 2025 at par (the “Notes”). The size of the offering has been increased from $650 million, indicated at launch on 12 Ma ...

OilVoice Press - OilVoice

Posted 1 day agoPress > Tullow OilSenior Notes

Swire Oilfield Services Develops Norwegian Operations with New Base

Swire Oilfield Services, a global leading provider of Offshore Containers and oilfield services, has today developed its Norwegian operations with the opening of a new base facility in Mongstad. Swire Oilfield Services have invested over half a million pounds in the new facility which is approved ...

OilVoice Press - OilVoice

Posted 1 day agoPress > Swire Oilfield ServicesNorwayMongstad +3

Government Policy Crucial For Future of Upstream Sector in Southeast Asia, Says GlobalData

As the upstream sector recovers from the 2014 oil price crash and resulting budget cuts, a number of Southeast Asian governments are adapting policies in the sector in the hope of capturing a share of new investment, according to GlobalData , a leading data and analytics company. The most signifi ...

OilVoice Press - OilVoice

Posted 1 day agoPress > GlobalDataupstreamSoutheast Asia +3

Elk Petroleum Half-Year FY2018 Results & Guidance

Half-Year headlines Aneth acquisition delivers dramatic growth in reserves, production, cash flow & shareholder value 44% increase in share price to A$0.095 (15 March 2018) – up from A$0.066 (30 June 2017) 1P Reserves1 = 47.5 mmboe – up 35.0 mmbbls (380% increase) since 30 June 2017 ...

OilVoice Press - OilVoice

Posted 1 day agoPress > Elk PetroleumReportReserves +2

Range Resources Half -Yearly Report

Range today releases its half-yearly report (unaudited) for the 6 months ending 31 December 2017.    Yan Liu, Range's Chief Executive Officer, commented: “We are extremely encouraged by the progress in both operational and financial performance demonstrated in the interim results. We conti ...

OilVoice Press - OilVoice

Posted 1 day agoPress > Range ResourcesReportTrinidad +2
All posts from oilvoice