BP in $7bn deal to explore for oil in Brazil

[pampango]

Source: BBC

Oil giant BP has announced a deal that will allow it to begin exploring off the coast of Brazil. It will pay US firm Devon Energy $7bn (£4.7bn) in cash for its Brazilian assets, as well as US deepwater sites in the Gulf of Mexico.

The deal includes 10 exploration "blocks" in Brazil, which has some of the world's largest deepwater oil fields. BP is also selling Devon half its stake in some Canadian oil fields for $500m.

"Through our entry into Brazil, BP will add a major position in another attractive deepwater basin," said Andy Inglis, BP's head of exploration and production. Deepwater generally refers to oil fields in water 300 metres or deeper. Oil companies around the world are exploring deeper and deeper areas around the world as technological developments make it possible to drill in areas previously considered too expensive.

The deal will give BP access to fields in Brazil's Campos and Camamu-Almada basins, in water depths from 100 metres to 2,780 metres. The oil giant is also getting 240 leases in "ultra-deepwater" areas in the US Gulf of Mexico, and a small stake in a place in Azerbaijan. Discoveries over the past decade have suggested that Brazil could be one of the biggest oil producers in the world.



Read more: http://news.bbc.co.uk/2/hi/business/8561427.stm

[dixiegrrrrl]

1. this bears watching.

Wonder how long it will be before Brazil's Pres. Luiz Inácio Lula da Silva ( he likes to be called Lula)
will be accused of wanting nuclear weapons?
Actually, his term is almost up, he can't again, legally, so it is the election that bears watching.

edit: spelling

[NecklyTyler]

2. Oh Boy! Just what the world needs - More dirty fossil fuels to contribute to global warming

Let's just pump out as much CO2 as we can and really mess things up

[bulloney]

3. Suspected WMDs in Brazil in 3...2...1...