Offshore staff

RIO DE JANEIRO -- Petróleo Brasileiro SA has hit gas with well 6-ESS-168. Drilling is ongoing, Petrobras says, but the well has reached sandstone reservoirs at a depth of 3,378 m (11,083 ft) encountering a 130-m (426.5-ft) gas column.

The well is being drilled in the BM-ES-5 exploratory concession 37 km (23 mi) from the Espírito Santo coast in 763 m (2,503 ft) water depth. Well 6-ESS-168 is north of the Camarupim field, which was declared commercially viable at the end of 2006. The new discovery is important, Petrobras says, because it indicates an increase in expected recoverable volumes in the area.

Petrobras operates this concession with 65% interest. El Paso holds the remaining 35%.

5/10/2007