ExxonMobil Will Soon Drill 2nd Well at BM-S-22 in Brazil

Dow Jones Newswires

NEW YORK (Dow Jones Newswires), Mar. 5, 2009

ExxonMobil will "shortly commence operations" on a second well at a recently announced oil discovery offshore Brazil, Senior Vice President Mark Albers said Thursday.

Exxon said it had found traces of oil in a well drilled in the BM-S-22 block in Brazil's Santos Basin. The find was reported in a Feb. 17 filing with Brazil's National Petroleum Agency, but not released to the public until this week.

Exxon has a 40% stake in the block, with Hess Corp. owning a 40% share and Brazil's state-run Petroleo Brasileiro SA holding the rest.

The BM-S-22 block was the last to be drilled in a promising region that could hold deposits of up to 33 billion barrels of oil equivalent, or BOE, government officials have said. The block is part of a cluster of four blocks that contain a gigantic geographical structure, which industry experts and analysts believe could contain several discoveries the size of Petrobras' Tupi find.

The structure crosses the BM-S-8, BM-S-9, BM-S-21 and BM-S-22 blocks.

Albers was speaking at the company's annual presentation to analysts at the New York Stock Exchange.  

(Jeff Fick in Rio de Janeiro contributed to this report.)

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