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Brazil oil, gas output drops for second month – report

04th October 2012

Brazil’s resource output drops for second consecutive month according to a recent announcement by ANP

Brazil oil, gas output drops for second month – report
National oil output has been mired by what experts call the “natural” aging of oil fields

Oil and natural gas production in Brazil fell for the second consecutive month, it emerged on Wednesday, as the BRIC country’s top energy producer faces several setbacks.

Brazil produced an average 2.46 million barrels of oil and natural gas equivalent in August, a 0.5 per cent fall from 2.47 million barrels in July, the country’s oil and gas regulator, ANP said in a statement on Wednesday.

Average crude oil output sat at just over 2 million barrels of oil equivalent, a 2.2 per cent drop against the same period last year. Gas output hit 5.5 million cubic meters, a 7.4 per cent increase against August 2011, ANP said.

Petrobras fields accounted for 91 per cent of Brazilian average output in August, at 2.24 million boepd. Royal Dutch Shell came in third with 36,529 barrels of oil equivalent per day, after Statoil, which heralded 37,737 boepd.

National oil output has been mired by what experts call the “natural” aging of oil fields and some 40 dry wells declared by Petrobras between 2009-2012. The oil giant has also had to undergo scheduled maintenance in the giant Roncador and Marlim lest fields in the Campos Basin, which has affected production.

Petrobras output has been slipping despite several optimistic statements from company high profile represantives. The oil and gas firm has committed to spend some USD 235bn over five years to boost its bid to more than double output to 5.7 million barrels a day in 2020.

 

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