Chariot Oil & Gas Brazilian subsidiary signed a farm-out agreement with AziLat subsidiary AziBras Exploração de Petróleo e Gás Ltda. on blocks BAR-M-292, BAR-M-293, BAR-M-313 and BAR-M-314 in the Barreirinhas Basin, offshore Brazil.
AziLat will acquire 25% equity interest in the four blocks in return for paying 50% of the costs of the 3D seismic acquisition program and related processing costs incurred across the blocks.
The 3D seismic survey will cover about 1000sq km across the four blocks, which Chariot expects to carry out in 1H 2015. The Environmental Impact Assessment is currently underway.
The Barreirinhas basin is on the northeastern coast of Brazil, on Brazil's Equatorial Margin, approximately 70km offshore, covering 768sq km in 85-1700m water depth.
According to Chariot, from existing 2D seismic datasets, there is evidence of sufficient burial of the Cenomanian-Turonian source rock for hydrocarbon generation, supported by potential seismic direct hydrocarbon indicators. In addition, a large roll-over structure has been identified with deepwater turbidite seismic facies and fan entry points.
Chariot says discoveries in Ghana have demonstrated the same deepwater play components of source, reservoir, and seal encountered in wells drilled adjacent to Chariot’s acreage. The company believes this evidence suggests that the same petroleum systems are present offshore Brazil, similar to West African basins in Côte d'Ivoire and Ghana, where major oil and gas fields have been discovered in recent years.
“The Barreirinhas basin remains underexplored with modern 3D seismic and offers huge potential on a coastline that has yielded some of the largest discoveries of the last decade,” says Michael Stewart, AziLat managing director. “With the financial backing of Seacrest Capital Group, we look forward to advancing the exploration activities in these four blocks, in other areas offshore Brazil and the wider South American region."
Subject to additional partnering, drilling could take place in 2H 2016 or 2017.
Chariot is the operator of blocks BAR-M-292, BAR-M-293, BAR-M-313 and BAR-M-314 and holds a 75% interest with AziLat (25%).
Recent activity is high in Brazil. Just this month, Petrobras found more hydrocarbon pay at the Jupiter prospect in the Santos pre-salt block offshore Brazil. They also began drilling on the first exploration well on the Libra pre-salt area also located in the Santos basin.
Petrobras continues to invest in Brazil, as they recently entered into an agreement with FMC Technologies to proved an additional five subsea manifolds for their offshore pre-salt fields.
Read more:
Pre-salt Brazil orders for FMC
Petrobras strikes more pay at Jupiter
Subscribe
