OSLO: Statoil has confirmed an estimate of up to 300 million barrels of oil equivalent in Brazil's offshore Peregrino South licence, clearing the way for a final investment decision next year, the Norwegian energy firm said on Wednesday.
"Earlier we communicated a resource estimate of 150 million to 300 million barrels for phase II development and this result is encouraging," Statoil spokesman Baard Glad Pedersen said, referring to results from a hydrocarbon appraisal well.
"It confirms our positive view on Peregrino South and we don't change the resource estimate previously given."
Statoil, Brazil's No. 2 producer after Petrobras, said the latest well, which encountered an 85-metre high-quality oil-filled reservoir, concluded the appraisal process.
Peregrino South, 85 kilometres offshore, is adjacent to Statoil's bigger Peregrino field, which began producing last year and could hold up to 600 million barrels of recoverable oil equivalent.
Peregrino, discovered in 1994, produced 63,000 barrels per day in August, making it Brazil's tenth largest field by production. Output is expected to peak at 100,000 barrels per day.
Statoil holds 60 percent of both the Peregrino and Peregrino South fields. China's state-run Sinochem holds 40 percent.
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