Royal Dutch Shell's Brazilian subsidiary secured four deep-water exploration blocks off the country's coast, the company announced.

Shell Brasil Petroleo said Thursday it will operate in two of the four locations. The company made one bid on its own and jointly submitted the other three applications with Chevron Brazil, Petrobras, and Petrogal Brasil to the Brazilian National Petroleum Agency.

One of the blocks is in the Campos basin, while the other three locations are in the Potiguar basin, Shell said. The company will pay about $70 million in signing bonuses for the projects.

Brazil has more proven oil reserves than any South American nation except for Venezuela.

"We continue to demonstrate our commitment to growing our production in Brazil and our strong belief in the value deep-water resources brings to our global portfolio," said Andy Brown, Shell's Upstream Director. "This bid round offers significant potential for additional deep-water discoveries. These lease commitments fall within our agreed capital ceiling and are consistent with our value-based approach."

Other energy companies are increasingly tapping into Brazil's resources as well. Data released in December indicated that as of August 2017, Brazil had passed its 2016 mark for barrels of oil and other petroleum liquids produced per day.

The same month, Norwegian energy company Statoil committed to tripling its production capacity there and French company Total said it would double down on investments offshore Brazil.

Related Links
All About Oil and Gas News at OilGasDaily.com

Tweet

Thanks for being here; We need your help. The Space Media Network continues to grow but revenues have never been harder to maintain. With the rise of Ad Blockers, and Facebook - our traditional revenue sources via quality network advertising continues to decline. And unlike so many other news sites, we don't have a paywall - with those annoying usernames and passwords. Our news coverage takes time and effort to publish 365 days a year. If you find our news sites informative and useful then please consider becoming a regular supporter or for now make a one off contribution.
SpaceMediaNetwork Contributor $5 Billed Once credit card or paypal		SpaceMediaNetwork Monthly Supporter $5 Billed Monthly paypal only

IEA sees short-term bottlenecks for U.S. oil sector
Washington (UPI) Mar 28, 2018
Steel tariffs and the pace at which U.S. oil production is accelerating could act as a short-term throttle to momentum, the International Energy Agency said. The United States is on pace to become the largest oil producer in the world, possibly passing Russia at some point in the very near future. Most of the U.S. production comes from a handful of shale basins in the country and the more lucrative ones are in Texas. The IEA said it expects production from the Eagle Ford and Permian basi ... read more