Norse Energy Wins Two Blocks in Brazil's 7th Round

Norse Energy has, in a joint venture partnership with Starfish Oil and Gas SA, won the bid for two blocks in the Reconcavo Basin located onshore Brazil in the 7th licensing round.

The total signature bonus for the two blocks (REC-T-106 and REC-T-165) was 371,000 reais. Norse has a share of 30 % in each of the two blocks. The joint venture partners have a commitment to drill 1 exploration well on each block. The financial commitment for the drilling of the two wells is about US $1 million for Norse, over a period of two years.

The Reconcavo Basin has been producing oil for the last fifty years, and is one of the oldest and most prolific onshore basins in Brazil. The Reconcavo Basin is the onshore part of the Camamu Basin, where Norse is involved in the Manati gas field. The prospects for further oil discoveries in Reconcavo are considered as good.