OGX Declares Tubarao Azul Commercial

OGX Petróleo e Gás Participações S.A. (OGX) has presented to the National Petroleum, Natural Gas and Biofuels Agency (ANP) a Declaration of Commerciality of a portion of the Waimea Complex, for which the proposed new designation is Tubarão Azul Field, in block BM-C-41, in the shallow waters of the Campos Basin. OGX holds a 100 percent interest in these blocks.

This declaration of commerciality presented to the ANP, of a portion of the Waimea Complex (1st production module) occurred after assessing the results gathered so far of the Extended Well Test (EWT), conducted through the OGX-26HP well, which has been confirming excellent permoporosity reservoir characteristics and leading to a better specification and elaboration of the Development Plan (DP) of this area. The Development Plan, which will be submitted to the ANP, estimates a total recoverable volume of 110 million barrels of oil from Tubarão Azul Field over the concession period’s production phase.

"This important step will allow us to connect the second well and intensify production by the FPSO OSX-1 making our operations in this area even more profitable given the higher cash flow generation and dilution of operating costs," commented Paulo Mendonça, CEO of OGX.