The company plans to start drilling one well in each of the deepwater blocks, BM-C-30 and BM-C-32, in March, the company said.
Devon has recently signed a lease contract for a drillship from US oil equipment services company Transocean (NYSE: RIG) from 2008.
The ship will be deployed in the two above-mentioned blocks and in the BM-C-34 block in the Campos basin where Devon also has a working interest. The company has already carried out 3D seismic surveys of the blocks.
Devon's complete exploration program for the BM-C-30 block includes two wells from 2005-2008. The company's initial reserves estimates are 350Mb of oil at water depths of some 1,500 meters and drill depths of 3,900m, the company said in the email.
Devon has a 25% working interest in BM-C-30. US oil company Kerr McGee is the operator with 30%, Canada's EnCana has 25% and South Korea's SK Corporation has 20%.
The exploration program for the BM-C-32 block also includes two wells through end-2008, a region with similar depths as BM-C-30. Reserves are estimated at about 500Mb of oil.
Devon has a 40% working interest in the block and is the operator, Kerr-McGee has 33.33% and SK Corp has 26.67%.
The company is also preparing to drill five wells in the BM-C-34 block from 2006-2009, the email said. Devon has a 50% stake in that block and is the operator, while Brazil's federal energy company Petrobras (NYSE: PBR) has the other 50%.
Devon declined to give investment figures for its E&P development projects in Brazil but reaffirmed it is on track to start producing oil by mid-2007 at the Polvo field in the BM-C-8 block in the Campos basin.
Local press reported that the company has announced plans to spend US$300mn in the development of the Polvo field. The company estimates that Polvo has reserves of 50Mb of heavy crude.
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