Petrobras Challenges BG Oil Reserve Boost

Petrobras, as the operator of Blocks BMS-11 and BMS-9, clarified that the Statement issued Nov. 2 by BG Group concerning the estimated volumes of recoverable oil equivalent in Tupi, Guará, and Iracema, in the Santos Basin pre-salt area, is not a disclosure made by the Consortium responsible for operating the blocks. BG is responsible for this information, which was backed by a report issued by a consultancy firm hired solely by BG.

Petrobras believes that it is relevant to complete the wells that are currently being drilled in the Tupi Evaluation Plan area in order to announce additional information regarding recoverable volumes in Tupi and Iracema. Reguarding the Guará area, Petrobras believes it is important to drill new delimitation wells and to carry out an Extended Well Test to revise the estimated volume that has been announced.

Therefore, Petrobras reiterates the previously disclosed estimates ranging from 5 to 8 billion barrels of recoverable oil in Tupi and Iracema (BM-S-11), and 1.1 to 2 billion barrels of recoverable oil in Guará (BM-S-9).

The Company has informed the BG Group of the need to comply with the rules set forth under the Joint Operations Agreement.