Statoil Awarded 6 Licenses Offshore Brazil

Statoil was the highest bidder on 6 licences in Brazil's 11th licensing round, the first licencing round in the country since December 2008. With the new licences, Statoil has strengthened its position in the Espirito Santo basin.

The award in Brazil's 11th licencing round reflects Statoil's extensive application and ambition of long-term growth in Brazil. Out of the six licences awarded in Espirito Santo, Statoil is the operator for four and partner in two of the licences.

"We are very pleased with the outcome," says Tim Dodson, executive vice president for Exploration in Statoil.

"The award of the blocks in the Espirito Santo basin is in line with Statoil's exploration strategy to build on core positions in prolific and proven basins."

Statoil's application for exploration licenses in the basin is based on established and new geological play models.

"The new positions underscore our ambition to grow in Brazil, which we see as a region for long-term growth.

"Access to new quality acreage is an essential prerequisite for further value creation through exploration activities and for increasing Statoil's international production level from key clusters such as Brazil," says Thore E. Kristiansen, senior vice president South America and president for Statoil Brazil.

In December 2012 Statoil acquired a 25% participating interest from Vale SA in BM-ES-22A in the Espirito Santo Basin. Petrobras is the operator with 75%.

The farm-in is pending Brazil National Agency of Petroleum, Natural Gas and Biofuel (ANP) approval. BM-ES-22A is adjacent to the BM-ES-32 licence where Statoil is partner and which holds the Indra discovery.

"These new licences in the Espirito Santo basin give us a significant acreage position in a proven hydrocarbon basin. They have the potential to provide large-scale additional resources close to our existing discoveries, which with success will result in Statoil building a new core position," says Dodson.

Statoil operates the Peregrino field in Brazil, which came on stream in April 2011, and Statoil is currently the largest international operator in the country. Statoil is also operator of some of the world's largest oil and gas discoveries over the last couple of years and has a strong safety and environmental record.

The 11th bidding round on 14 May was conducted by the ANP. The concession agreements from the 11th licencing round are scheduled to be signed in August 2013.