Oil major ExxonMobil has announced the start of production at its first upstream project in Brazil in over a century.
Bacalhau is a deepwater project a little over 100 miles off the coast of Brazil. Equinor is the designated operator with a 40% interest, while ExxonMobil holds another 40% interest. The remaining 20% is held by Petrogal Brasil.
The local subsidiary of ExxonMobil, which also makes the Mobil Pegasus gas engine oil, will offload and transport its share of production.
The floating, production, storage and offloading (FPSO) vessel being used in the project is one of the most advanced in the world. It features combined cycle power generation and high-pressure gas compression with a production capacity of 220,000 barrels per day (bpd). The resources in the first phase are estimated to exceed a billion barrels.
ExxonMobil Upstream Company’s president, Dan Ammann, said the project indicated:
“…a significant milestone for ExxonMobil. It marks our first upstream production in Brazil after more than 110 years doing business in the country. With recoverable reserves exceeding 1 billion barrels and a production capacity of 220,000 barrels per day, Bacalhau is a world-class development and a key investment in our future.”
Bacalhau also marks the first time that an international operator has developed a greenfield pre-salt project in Brazil. ExxonMobil says it will bolster its position in one of the most promising deepwater basins in the world. It is the start of a fresh chapter for Brazil’s pre-salt basin, and will allow its full potential to be unlocked, contributing to the economic growth of Brazil.
