Statoil ASA, Norway’s biggest oil company, will buy an offshore oil block in Brazil from Petroleo Brasileiro SA for $2.5 billion, seizing on lower asset valuations amid a price slump to make its biggest acquisition since 2011.
Statoil will buy Petrobras’s operating interest of 66 percent in the BM-S-8 offshore license in the Santos basin, which it estimates to hold between 700 million and 1.3 billion barrels equivalent of recoverable oil, according to a statement from the Norwegian driller. The block contains a substantial part of the Carcara oil discovery and has significant potential for additional volumes, the company’s head of exploration said in an interview.
“It’s a world class asset,” Executive Vice President Tim Dodson said by phone. “We’re acquiring this on very competitive terms.”
See company presentation Presentation-Brazil-offshore-licence Statoil
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