Prio SA has agreed to acquire a 40% interest in Peregrino and Pitandola fields offshore Brazil.
The agreement was signed with SPEP Energy Hong Konmg Ltd. and Sinochem International Oil (Hong Kong) Co. Ltd. for acquisition of Sinochem Petroleum Netherlands Cooperatief UA which indirectly holds interest in the fields. A new consortium will be formed with operator Equinor holding 60% interest and Prio holding the remaining 40%.
The fields lie 85 km off the coast in Campos basin and 28 km from the Olvo and Tubarao Martelo cluster within blocks BM-C-7 and BM-C-47. The fields are produced through Peregrino FPSO, which has oil processing capacity of 110,000 b/d and water processing capacity of 300,000 b/d.
Total recoverable reserves and resources (1P + 1C) for the fields is about 338 million bbl with a forecasted abandonment date after 2037. After acquisition, Prio’s production will increase by about 35,000 b/d.
The area is in its second development phase, which includes installation of the Peregrino C fixed platform and drilling new wells connected to platforms A and C (OGJ Online, July 25, 2024). It currently produces about 88,000 b/d through 26 producing wells and six injection wells.
Total consideration to acquire the interest is $1.915 billion.
Alex Procyk | Upstream Editor
Alex Procyk is Upstream Editor at Oil & Gas Journal. He has also served as a principal technical professional at Halliburton and as a completion engineer at ConocoPhillips. He holds a BS in chemistry (1987) from Kent State University and a PhD in chemistry (1992) from Carnegie Mellon University. He is a member of the Society of Petroleum Engineers (SPE).
