Russian oil producer TNK-BP has reached an agreement with Brazilian oil start-up HRT Participacoes to buy a share in oil exploration blocks in the Amazon forest region, a source close to the deal told Reuters on Friday. HRT said in May that it had informed its partner, Brazilian oil firm Petra, that it would pay a "fixed and nonadjustable price" of 1.29 billion reais ($820 million) for its 49 percent stake in the blocks, exercising its buy-out right.
Petra had earlier refused a $1.05 billion offer from TNK-BP, half-owned by BP, to buy the stake, HRT said. The source told Reuters that the agreement to sell Petra's share would be announced in 15-20 days. HRT, which aims to produce 100,000 barrels a day by 2014, declined to comment. Run by geologist Marcio Mello, HRT is exploring for oil in the Amazon Solimoes Basin, with its first production expected in August. It also has exploration blocks in Namibia.
TNK-BP valued the fields' resources at 2 billion barrels of oil equivalent, according to Russian daily newspaper Kommersant. Analysts say TNK-BP has limited ability to acquire new hydrocarbon licenses in Russia following BP's failure to secure a deal with Russia's top crude producer, Rosneft.
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