BAKU, Azerbaijan, September 3. bp and Shell
have agreed on the terms of a deal under which Shell will acquire a
50% stake in the Tupinambá exploration block in Brazil’s Santos
Basin, as well as a 30% stake in five leases covering the Conifer
exploration prospect in the deepwater Gulf of America.
The transactions are part of bp’s disciplined capital allocation
strategy aimed at becoming a simpler, stronger and more valuable
company, bp said.
Following completion of the transactions, bp will retain a 50%
interest in Tupinambá and a 70% interest in Conifer and will remain
operator of both assets.
“Brazil and the Gulf of America are important regions for bp,
and bringing together two experienced operators can help unlock the
potential of both opportunities. This collaboration will help
strengthen our position in both as we progress exploration
activity,” said Gordon Birrell, bp’s EVP Upstream.
Completion of the Tupinambá transaction remains subject to
regulatory approvals.
Tupinambá is an offshore exploration block in the Santos Basin,
located within Brazil’s pre-salt polygon. The block was awarded to
bp in the second cycle of Brazil’s Permanent Offer for Production
Sharing (OPP) on December 13, 2023.
As part of the bid, bp offered the Brazilian government a 6.5%
share of oil production, representing a 33.2% premium over the
minimum required in the tender.
According to Brazilian state-owned Pré-Sal Petróleo S.A. (PPSA),
R$7.047 million was paid in signature bonuses, while R$360 million
in investments are planned during the first phase of the contract,
covering the exploration period.
The Conifer prospect is located in the Keathley Canyon area,
approximately 250 miles southwest of New Orleans, Louisiana, near
bp’s Kaskida development.
bp was awarded four leases covering the Conifer exploration
prospect in August 2023 following Lease Sale 259. The fifth lease
was awarded in February 2026 as part of the Big Beautiful Gulf 1
Lease Sale.
The initial Conifer exploration well is expected to be drilled
in 2027.
