Brazil's HRT starts drilling first well offshore Namibia
RIO DE JANEIRO -- Brazilian oil startup HRT Participacoes em Petroleo SA on Monday started the drilling of its first well off the coast of Namibia, the company said Tuesday.
Namibia is the crown jewel of HRT's portfolio of oil and natural-gas exploration blocks. Geologists believe the highly prospective region off Namibia's coast could hold billions of barrels of oil under similar conditions to Brazil's subsalt, where oil was discovered trapped under a thick layer of salt. The two areas were connected millions of years ago.
Earlier this month, HRT Chief Executive Marcio Rocha Mello said in an interview that operations to drill the Wingat prospect would start in a matter of days, part of a three-well drilling campaign in West African seas. HRT is also in talks to sell an additional stake in its Namibian oil and natural-gas exploration blocks, with proceeds earmarked to fund drilling of a fourth well, Mr. Mello said at the time.
Portugal's Galp Energia previously acquired a 14% stake in three of HRT's exploration blocks in return for covering a portion of drilling costs. HRT holds operating stakes in 10 blocks and minority shares in two others in the Walvis, Orange and Namibe basins.
Oil-industry consultants DeGolyer and MacNaughton pegged average prospective resources for HRT's offshore acreage in Namibia at 7.4 Bboe. Average prospective resources are a preliminary measure used by the industry to indicate oil volumes that could be recovered from undiscovered deposits.
Dow Jones Newswires