On October 17, China National Offshore Oil Corporation (CNOOC) signed mineral royalty oil contracts for four offshore exploration blocks in Brazil with the Brazilian National Agency for Petroleum (ANP) and its partners in the Pelotas Basin.
In October 2013, CNOOC, along with Petrobras, TotalEnergies SE, Shell, and China National Petroleum Corporation, formed a joint bidding group and secured the Libra Block, the world’s third-largest pre-salt ultra-deepwater oil field, marking China’s first cooperative step into Brazil’s pre-salt oil and gas development.
Over the past decade, CNOOC has worked closely with the Brazilian government and its project partners, contributing to the high-quality development and management of Brazil’s pre-salt oil fields. These efforts continue to inject strong momentum into the deepening of China-Brazil energy cooperation.
Unveiling the Mysteries of Pre-Salt Complex Reservoirs
In 1968, Brazil drilled its first offshore well and discovered salt domes. Today, pre-salt ultra-deepwater oil reserves account for one-third of the world’s oil reserves, with Brazil leading the way in pre-salt oil production.
The Libra Block, an ultra-deep, high-pressure oil reservoir covered by a thick salt layer, presents significant challenges to drilling due to its complex structure and high plasticity.
After winning the Libra Block bid in 2013, CNOOC and its partners immediately began studies. To understand the complexities of the pre-salt reservoir, the technical team analyzed vast amounts of data and samples, developing a unique approach to reservoir evaluation and prediction.
In 2017, the Western Libra Block made a commercial discovery and was renamed the Mero Oilfield. Since its commissioning, the oilfield has maintained strong production.
CNOOC’s continued efforts in Brazil’s energy sector include acquiring equity in the largest deepwater pre-salt oilfield, the Búzios Field, and successfully increasing its share in 2022, making CNOOC the largest partner of Petrobras in this field.
CNOOC now holds a 10 percent interest in the Libra Block and a 7.34 percent interest in the Búzios Project, both located in the Santos Basin.
Revitalizing Energy Cooperation
In July 2023, CNOOC’s Brazilian team participated in a successful bid for 12 million barrels of oil from the Mero Field in an auction held by Brazilian Pre-Salt Petroleum (PPSA), marking the first time a Chinese company has won such a bid through public auction.
CNOOC’s proactive approach to resource integration, technology transfer, and trade facilitation has significantly broadened the scope for energy cooperation between China and Brazil, ensuring long-term and sustainable growth.
Fostering People-to-People Bonds
In August 2023, CNOOC sponsored a concert in Rio de Janeiro to celebrate the 50th anniversary of diplomatic relations between China and Brazil. The Copacabana Fort Band performed, highlighting the cultural exchanges between the two nations.
In addition to energy projects, CNOOC remains committed to supporting local communities in Brazil, exemplifying the deepening friendship between China and Brazil.
Looking ahead, CNOOC will continue to work with its Brazilian partners to contribute to the deepening of China-Brazil energy cooperation.
(Executive editor: Zhu Zeya)
