Petrobras begins Peroa production

Brazilian federal energy company Petrobras has begun gas production in the Peroa field in the Espirito Santo basin.

Offshore staff

(Brazil)- Brazilian federal energy company Petrobras has begun gas production in the Peroa field in the Espirito Santo basin. The first well, 3-ESS-89A, is being gradually brought into production, and is expected to reach the full production level of 1 MMcm/d by the end of February.

Two other wells are slated to be brought into production in the field within the next two years.

The gas is being processed at a rate of 1.3 MMcm/d at the onshore Cacimbas Gas Treatment Unit (UTGC) in Linhares. This gas will supply the state of Espirito Santo.

Gas supplies will be doubled once the first 100 km of the Southeast-Northeast Gas Pipeline, linking the cities of Cacimbas and Vitoria, becomes operational in the second half of 2006.

The Peroa platform is located off the northern coast of Espirito Santo state in a water depth of 67 m. The platform can process 8 MMcm/d of gas production.

This work is the first phase of the Peroa project, and represents a nearly $260 million investment by Petrobras. A total of 1,350 direct jobs were created for the construction and operation of the platform, the submarine gas pipeline, and the UTGC.

The second phase, which is still at the project stage, will increase supplies from the current level of 1.3 MMcm/d to 8 MMcm/d by 2008.

02/24/2006

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