Petro-Victory Energy has acquired 100% stake in nine onshore oil concessions in the prolific, mature oil-producing, Potiguar Basin in North East Brazil.

The onshore concessions add 63,583 acres to the company’s Potiguar Basin portfolio. They are also expected to contribute to a material increase its reserves and production.

Petro-Victory claims to be the third largest landholder in the prolific hydrocarbon basin, where one billion barrels of oil have been produced onshore following the first discovery in 1979.

Currently, a production of approximately 50,000 barrels of oil per day (bopd) is taking place across the Potiguar Basin.

Petro-Victory has received approval from the the Agencia Nacional do Petroleo Gas Natural e Biocombustiveis of Brazil (ANP) for the acquisition.

Originally owned by Petrobras, the concessions include the POT-T-432, POT-T-434, POT-T-477, POT-T-519, POT-521, POT-T-564, POT-T-566, POT-T-650, and Trapiá.

The concessions, which are current not in production, present a diversified mix of oil and gas field development, appraisal, and exploration opportunities to the Petro-Victory portfolio in Brazil.

The company has bought and is reprocessing 3D seismic for the former Petrobras concessions, where 19 wells have been drilled. It is also evaluating well data to identify the oil and gas zones in the well bores.

Besides, the firm is exploring various development prospects for the onshore assets.

Petro-Victory stated: “Several wells have strong evidence of both oil and gas accumulations (with some of the wells successfully testing oil and gas to surface).

“Petro-Victory is interpreting the seismic and well data and will work to identify and quantify additional reserves over these concessions to increase the Company’s previously-announced certified reserves.”

The company is also in the process of closing the acquisition of additional seven onshore concessions in the Potiguar Basin.

Petro-Victory chief executive officer Richard Gonzalez said: “I am pleased with our latest portfolio expansion. This acquisition of former Petrobras concessions, complements and adds to our portfolio of producing, low risk, high impact, cash flow positive assets.

“We believe this acquisition will materially aggregate significant, profitable production, increase our robust certified reserves and thus, continue to enhance shareholder value.”