Project Profile
Value: US$29.2 million
Location: Sergipe-Alagoas basin, Brazil
Area: 1,512 km²
Depth: 2,800 to 3,300 metres
SEAL-M-351 and SEAL-M-428 blocks are located in ultra-deep waters of the Sergipe-Alagoas basin, Northeast region of Brazil with total area of 1,512 km². In the ANP’s 13th Bidding Round, QGEP acquired ownership and operatorship of these two concessions. The identified prospects are post-salt and the main reservoirs to date are turbidite sandstones of the Early Cretaceous. The blocks are located between 80 and 100 km off the coast, in ultra-deep waters, with water depths ranging from 2,800 to 3,300 metres. The expected fluid in the region is predominantly light oil. QGEP paid a total of R$100.0 million (US$29.2 million) in signature bonuses for participation in the two exploratory blocks: R$63.9 million (US$18.6 million) for Block SEAL-M-351 and R$36.1 million (US$10.5 million) for Block SEAL-M-428, both values equivalent to the minimum bonus required in the bid. Under the minimum exploratory program (“Programa Exploratório Mínimo” - PEM) signed with the ANP, QGEP committed to perform 3D seismic acquisition for the two blocks with estimated CAPEX of US$15-20 million. Regarding local content, for both blocks, QGEP offered 37% in the exploration phase and 55% in the development phase.
Operators:
Queiroz Galvao E&P (QGEP): 30% interest
Murphy Oil: 50% interest
ExxonMobil: 20% interest