Jubarte Field Could Contain 4 Billion Barrels

RIO DE JANEIRO (Dow Jones Newswires), September 26, 2008

The first Brazilian oil field to produce subsalt oil could be about half the size of the massive Tupi discovery, the governor of Espirito Santo state told the local Estado news agency Thursday.

According to Gov. Paulo Hartung, the Jubarte field in the Campos Basin could contain a reserve of heavy oil estimated at 2 billion barrels of oil equivalent above the subsalt region. In addition, the field could contain another 2 billion BOE of light oil in a subsalt reservoir.

Hartung made the comments during an interview with Estado on the sidelines of the on the sidelines of the "Future of Subsalt" event hosted by the news agency.

The Tupi field, located in the Santos Basin off the coast of Sao Paulo and Rio de Janeiro states, was estimated in November to have recoverable reserves of between 5 billion and 8 billion BOE.

The Jubarte figures were confirmed by Petrobras during Brazilian President Luiz Inacio Lula da Silva's visit to the P-34 platform earlier this month to mark the country's first producing subsalt well, Hartung said.

"Petrobras has already drilled four wells in the area, is drilling a fifth and plans to have another two," Hartung said, according to the report.

Industry sources told Estado that Jubarte's potential has caused Petrobras to revise its plans for the field.

Petrobras will likely disconnect the P-34 platform currently at the field from the subsalt well, leaving the rig to produce oil solely from shallower deposits. The company will then move the FPSO "Capixaba," currently operating at the Golfinho field, to produce about 100,000 barrels a day from subsalt wells at Jubarte.

The FPSO "Capixaba," a floating production, storage and offloading vessel, would start production at Jubarte later in 2009, after being retrofitted in Singapore. 

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