Petrobras, BG Group, and Repsol have signed a Letter of Intent with the Schahin/Modec consortium for the construction and 20-year lease of an FPSO for the Guará pilot project in the BM-S-9 block in the Santos basin, offshore Brazil.

Brazil’s largest offshore independent, OGX, has announced a 39.6% increase in its independently certified net risked prospective resources, according to a regulatory filing by the company.

The Guara discovery in the Santos basin pre-salt, offshore Brazil is estimated to contain recoverable volumes of 1.1 to 2 Bboe, according to BG Group, Petrobras, and Repsol.

Oil and natural gas production has been resumed from the Extended Well Test (EWT) for the Tupi area in the Santos basin, offshore Brazil, according to Petrobras.

During an annual planned inspection on the Siri installation offshore Brazil, DONG Energy observed minor cracks in a water tank connected to the oil storage tank below the platform.

Brazilian national oil company Petrobras needs more capital to carry out its ambitious subsalt development program, but the transfer of 25 billion real ($13.3 billion) in treasury notes from state bank BNDES will ensure that offshore projects continue to move forward as planned.