Following the detailed assessment, the company has now submitted the declaration of commerciality (DoC) for the deep offshore block in the Sergipe Alagoas Basin
Petrobras is the operator of the offshore block. (Credit: gloriaurban4 from Pixabay)
ONGC Videsh (OVL), the wholly owned subsidiary and overseas arm of Oil and Natural Gas Corporation (ONGC), has entered the development stage for BM-SEAL-4 deep offshore block in Brazil.
Following the detailed assessment, the company has now submitted the declaration of commerciality (DoC) for the deep offshore block.
In 2019, OVL first made a major gas discovery in BM-SEAL-4 block situated in the Sergipe Alagoas Basin.
In a statement, OVL said: “The block development module of Petrobras envisages the installation of a shared FPSO and a gas pipeline. The name suggested to the Brazilian regulator for the field is Budião.”
The development module, which is currently under the contract planning phase, is anticipated to begin production after 2026.
The consortium aims to continue all operational activities for submission of the development plan to the regulator, in addition to achieving the target for the first oil.
In October 2019, ONGC Videsh announced that it had discovered oil in Moita Bonita-2 well, located in exploration block BM-SEAL-4 at a depth of 2,629m.
The well had encountered a 39m thick gas bearing sand at the depth of 5,227m and a 24m thick oil bearing sand at more depth.
With a 75% participating interest (PI), Petrobras is the operator of the block. The remaining 25% stake in the block is owned by OVL.
In June last year, ONGC Videsh announced an investment of $121.27m for the further development of the Shwe gas project offshore Myanmar.