Brazil: TNK-BP takes Petra Solimoes basin farmout

By OGJ editors
HOUSTON, July 19
-- TNK-BP, Moscow, signed a farmout agreement with Petra Energia of Brazil for the acquisition of a 45% stake in 21 blocks in the Solimoes basin.

The 21 oil and gas exploration blocks, majority owned and operated by HRT O&G, cover 48,000 sq km in the Brazilian Amazon (see map, OGJ, Mar. 7, 2011, p. 54). Consulting engineers report that the blocks contain a net prospective and contingent resource of 783 million bbl of oil equivalent, including 11 discoveries at which oil and gas were tested.

Initial production from the fields in the Solimoes basin is expected in 2012, TNK-BP said.

The farmout provides that the value of the transaction will depend on future performance of the asset. HRT will remain the operator, with TNK-BP playing a more active role during the development and production stages.

Closing of the transaction will be subject to final agreement between TNK-BP and HRT concerning operations, approval from TNK-BP and HRT boards of directors, and approval from Brazilian federal regulators. TNK-BP management hopes to have the agreements with HRT finalized by the end of August and submit the entire investment for board approval by September.

Did You Like this Article? Get All the Energy Industry News Delivered to Your Inbox

Subscribe to an email newsletter today at no cost and receive the latest news and information.

 Subscribe Now


Logistics Risk Management in the Transformer Industry

Transformers often are shipped thousands of miles, involving multiple handoffs,and more than a do...

Secrets of Barco UniSee Mount Revealed

Last year Barco introduced UniSee, a revolutionary large-scale visualization platform designed to...

The Time is Right for Optimum Reliability: Capital-Intensive Industries and Asset Performance Management

Imagine a plant that is no longer at risk of a random shutdown. Imagine not worrying about losing...

Going Digital: The New Normal in Oil & Gas

In this whitepaper you will learn how Keystone Engineering, ONGC, and Saipem are using software t...