A subsidiary of Thailand’s PTTEP has signed a farm-in agreement with BG E&P Brasil for four predominantly deepwater blocks, marking PTTEP’s initial foray into South American E&P. “The signing of this agreement with BG Brasil is a significant and the first step for PTTEP to expand its investment in South America, which is one of the highest potential oil resources of the world,” Tevin Vongvanich, PTTEP President and CEO, said.
The four exploration blocks – BAR-M-215, BAR-M-217, BAR-M-252 and BAR-M-254 – cover approximately 3,077 sq km in the northeastern deepwaters of the Barreirinhas Basin offshore Brazil.
Upon approval of the deal by Brazil’s National Agency of Petroleum, Natural Gas and Biofuels, PTTEP Brasil will hold 25% interest while operator BG Brasil will hold the remaining 75%. The companies plan to conduct 3D seismic surveys of the area to assess its preliminary potential. “This year, the joint venture partners plan to commence a multi-client 3D seismic survey in the four blocks,” Mr Vongvanich said.
PTTEP currently has more than 40 E&P projects in Southeast Asia, Middle East, Africa, Australia, North America and now also South America.