Santos Basin, Campos Basin
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SAO PAULO (Dow Jones Newswires), November 7, 2008

Royal Dutch Shell PLC will start drilling in Brazil's promising subsalt region in late 2009, according to a report Friday in local financial daily Valor Economico.

According to the report, Shell will drill in the BM-S-54 block in the Santos Basin, the area off the coast of Rio de Janeiro and Sao Paulo states that has seen a wave of new discoveries. Shell holds 100% of the block.

Drilling will start when a specially contracted rig arrives at the site late next year, Valor said.

Shell also holds stakes in three other Santos Basin blocks in partnership with other firms: the BM-S-43, the BM-S-45 and the BM-S-8 blocks. The BM-S-8 block contains the promising Bem-Te-Vi prospect. In total, the oil company holds stakes in 13 exploration and production concessions in Brazil.

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