BS-3 update - Updated development plans to be filed by January 13, 2011
Panoro Energy ASA ("PEN", OSE ticker code), the independent oil and gas company with assets in West Africa and Brazil, is pleased to announce that new development plans for the fields in the BS-3 area will be submitted to the Brazilian National Petroleum Agency (“ANP”) by January 13, 2011. On behalf of the partnerships in the BS-3 area, the Operator will file updated development plans which will include Panoro’s two assets Estrela do Mar (PEN 65% working interest) and Cavalo Marinho (PEN 50% working interest) and potentially the Coral field (PEN 35% working interest) as well as other fields owned by the Operator in the area.
The Operator has now formally confirmed that the updated development plans will include a plan for an extended production test in the B1 reservoir, with the objectives of both understanding reservoir productivity as well as demonstrating the economical potential to produce this reservoir in combination with the B2/B3 reservoirs. The Guaruja B1 reservoir is a low-permeability reservoir present in all the fields in the BS-3 area and contains up to 1 billion BOE Oil-in-Place in Estrela do Mar and Cavalo Marinho. As such, this represents an important milestone for Panoro and is in line with Panoro’s view of the high potential of the B1 reservoir.
In addition, the Operator has confirmed that it will evaluate opportunities for further integration of the field developments in the area. This will include evaluating one common gas solution including gas from other fields in the area, ie Tiro, Sidon and Tubarão and potentially others. Moreover, this will further include the potential of using one FPSO for all the fields in the BS-3 area. This evaluation is in line with Panoro’s preferred integrated concept for development in the area. Final concept selection is expected to take place in Q3-2011.
The BS-3 area is located in the Southern Santos Basin offshore Brazil at approximately 200 meter water depth and includes four fields; Estrela do Mar, Cavalo Marinho, Coral and Caravela. The Coral field produced approximately 12 MMbbls from 2003-2008. Caravela produced approximately 20 MMbbls from 1994-2002. Gross resources from these fields are in the order of 100 MMBOE from the B2/B3 reservoirs, with significant upside in the B1 reservoirs.
For further information, please contact:
Jonas Gamre, Investor Relations
Tel: +47 23 01 10 02
Cell: +47 971 18 292
Email: jonas.gamre@panoroenergy.com
Please visit www.panoroenergy.com for more information.