BG ups estimate of Santos basin giants

    Nov. 2, 2010
    BG Group has upgraded gross recoverable resources from the Tupi, Iracema, and Guará discoveries in the Santos basin, offshore Brazil by 2.7 BBboe, to a new total of 10.8 Bboe.
    Offshore staffREADING, UK --BG Group has upgraded gross recoverable resources from the Tupi, Iracema, and Guará discoveries in the Santos basin, offshore Brazil by 2.7 BBboe, to a new total of 10.8 Bboe.The company based this on the development of new, more sophisticated reservoir models that assimilate and interpret large amounts of data. Much of these are new and compiled over the past year, and include:3,200 sq km (1,235 sq mi) of 3D seismicResults from nine completed wells (including the original discovery wells on Tupi and Guará)10 drillstem testsInsights gained from the ongoing extended well test on Tupi, which has to date produced 7.6 MMboe.BG Group engaged consultants Miller and Lents (MLL) to independently verify the estimates, providing MLL with full access to its data and development models for these fields.Additionally, BG Group has issued guidance on its P90*** and P10*** gross resource estimates for each field, which are summarized below.Gross resourcesBboePrevious indicative resources rangePrevious indicative resources mid-pointNew MLL certified best estimate resourcesNew
    BG Group best estimate resources    New
    BG Group P90*** resources    New
    BG Group P10*** resources    Tupi5.00 – 8.006.507.887.345.509.51IracemaIncl in TupiIncl in Tupi1.261.651.331.69Tupi + Iracema5.00 – 8.006.509.148.996.8311.20Guará1.10 – 2.001.551.621.761.512.01Total6.10 – 10.008.0510.7610.758.3413.21The company believes that around 94% of gross resources on Tupi and Iracema and 90% of gross resources on Guará are recoverable during the concession periods for those fields.Development planning and implementation highlights to date include:The first permanent FPSO is now on station on Tupi and started production last monthTwo further FPSOs have been ordered for deployment on Tupi and GuaráNegotiations are under way for deployment of further production modules for Tupi, Iracema, and Guará; andThe gas export pipeline to Mexilhao is complete.11/02/2010

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