Shell’s deepwater mission offshore Brazil is a plug along with first Gato receive Mato gasoline due in 2029

Shell receive Brasil, a Brazilian subsidiary of the UK-headquartered energy big Shell, has taken a final investment decision (FID) for its deepwater vogue mission in the pre-salt space of the Santos Basin off the breeze of Brazil.

Shell save off the FID for the Gato receive Mato discipline in November 2022, emphasizing that it did not predict to receive it internal 12 to 24 months. Reach December 2023, Cristiano da Costa, President of Shell Brasil, printed the firm’s plans to take the final investment decision for the mission in 1Q 2025.

Closing 300 and sixty five days, the firm save MODEC responsible of the hull manufacture and all connected topside facilities for a floating production, storage, and offloading (FPSO) unit destined to work at Gato receive Mato, projected to be moored by a SOFEC unfold mooring system.

Shell has now confirmed the powerful-anticipated FID for this deepwater mission in the Santos Basin, that might perhaps well per chance entail the installation of the FPSO, designed to receive up to 120,000 barrels of oil per day. The estimated volume of recoverable sources is roughly 370 million barrels.

The Gato receive Mato consortium, which contains Shell (operator with a 50% stake), Ecopetrol (30%), TotalEnergies (20%), and Pré-Sal Petróleo SA (PPSA) performing as manager of the production sharing contract (PSC), expects the mission to cease into operation in 2029.

Zoë Yujnovich, Shell’s Head of Integrated Gas and Upstream, commented: “Gato receive Mato is an example of our persisted investment in extra and more efficient projects. The mission contributes to striking forward trusty liquids production in our Upstream industry and extends our management because the most engrossing international producer in Brazil as we continue to work in opposition to assembly the world’s energy wants in due route.”

Located in the Santos Basin, off the breeze of Rio de Janeiro, in water depths starting from 1,750 to 2,050 meters, the Gato receive Mato discipline is a pre-salt gasoline-condensate discovery that spans two contiguous blocks: BM-S-54, a concession contract signed in 2005, and Sul de Gato receive Mato, a production sharing contract (PSC) received in 2017.

The operator elaborates that preliminary operations will contain the reinjection of pure gasoline to back reservoir stress, with the opportunity of exporting gasoline to onshore facilities. While the produced stabilized indecent will likely be saved in the FPSO tanks, the oil will likely be offloaded to shuttle tankers to plug to market.

Shell believes the investment in Gato receive Mato will generate an internal rate of return (IRR) higher than the minimal stipulated for the company’s upstream projects. The UK-headquartered big is working on boosting its oil and gasoline production arsenal from its world portfolio.

Right here’s illustrated by its procedure to contain a discipline vogue understanding (FDP) and an FID in 2027 for its recent pure gasoline discovery in the North Sea.