Shell Sees Peak Output for Brazil's Lula Field in 2020, 2021

Wednesday, September 26, 2018

Brazil's most productive field, the Lula, located in the offshore Santos basin, should hit peak production in 2020 or 2021, after reaching 1 million barrels of oil equivalent per day next year, an executive at Royal Dutch Shell said on Wednesday.

The increase in production next year will be helped by the launch of platforms P-67 and P-69, which should go online in 2019, according to Cristiano Pinto da Costa, Shell's general manager for the Santos basin's Lula, Sapinhoa, Iracema and Lapa fields.

The Lula field averaged 879,000 barrels of oil per day as of July. It is operated by Brazilian state oil company Petroleo Brasileiro in a consortium with Shell and Portugal's Galp.

Rising oil prices and shrinking reserves have boosted appetite among oil majors for placing big bets on Brazil's prolific offshore pre-salt layer, where billions of barrels of oil lie under a thick layer of salt beneath the ocean floor.

On Friday, Brazil will host its last pre-salt auction ahead of elections next month that could launch a leftist into the presidency with plans to walk back market-friendly reforms in the oil sector.

Speaking on the sidelines of an oil conference in Rio de Janeiro ahead of the auction, Pinto da Costa also said that a third phase of development for the Lapa field was still in a very early stage.

"We are studying the viability of drilling more wells to bring future production" to a part of the field where no wells are currently located, he said.

However, any decision about investment or the specific number of wells would not be made for another 18 to 24 months, he added.


(Reporting by Marta Nogueira and Alexandra Alper; Editing by Christian Plumb and Leslie Adler)

Categories: Offshore Energy Offshore Energy Deepwater Activity FPSO Oil Production

Related Stories

Kazakhstan Looks to Improve Oil Production Agreements Terms

China's CNOOC Aims for Record Oil and Gas Production in 2025

CNOOC Boosts Dongfang Gas Fields Output with New Platform Coming Online

BP to Help Boost Oil and Gas Output at India’s Largest Producing Field

Saipem’s Castorone Vessel on Its Way to Türkiye’s Largest Gas Field

Sembcorp Signs 10-Year LNG Supply Contract with Chevron

Yinson and PetroVietnam JV Get FSO Contract for Vietnamese Field

Beam’s AI-Driven AUV to Hit Offshore Wind Market in 2025

Korea's Hanwha Raises Offer for Singapore's Dyna-Mac Takeover

CNOOC Starts Production from Deepwater Gas Project in South China Sea

Current News

Japan's Mitsui Eyes Alaska LNG Project

Santos Hires Weststar-GAP for Timor-Leste Offshore Helicopter Services

Petronas Preps for Sabah-Sarawak Gas Pipeline Decom Op

European LNG Imports Up with Asian Influx

Sunda Energy Starts Environmental Survey for Timor-Leste Oil and Gas Field

Kazakhstan Looks to Improve Oil Production Agreements Terms

ConocoPhillips Takes Over Operatorship of Malaysian Oil and Gas Cluster

VIDEO: AIRCAT Crewliner takes Shape to Service Offshore for TotalEnergies Angola

China's CNOOC Aims for Record Oil and Gas Production in 2025

AIRCAT 35 Crewliner Vessels Delivered to Service TotalEnergies Angola

Subscribe for AOG Digital E‑News

AOG Digital E-News is the subsea industry's largest circulation and most authoritative ENews Service, delivered to your Email three times per week

https://accounts.newwavemedia.com