Brief: Total, Petrobras complete Lapa and Iara concessions deal

SINOPEC Engineering Co

15/01/2018 10:03

Jan 15 (Reuters) - Total Sa  TOTF.PA /Petrobras: 
     
    * Petrobras and Total finalize decisive milestone in the 
realization of their Strategic Alliance, signed in March 2017 
    * Transfer from Petrobras to Total of 35% of the rights, as 
well as the operatorship, of the Lapa field in Block BM-S-9A in 
the Santos Basin pre-salt, alongside Shell (30%), Repsol-Sinopec 
(25%) and Petrobras (10%). The Lapa field was put in production 
in December 2016, via the 100,000 barrel per day capacity Cidade 
de Caraguatatuba FPSO. 
    * Transfer from Petrobras to Total of 22.5% of the rights of 
the Iara area, which comprises the Sururu, Berbigão and Oeste de 
Atapu fields in Block BM-S-11A in the Santos Basin pre-salt, 
operated by Petrobras (42.5%) alongside Shell (25%) and Petrogal 
(10%).  
    * Production in Iara expected to start in 2018 through the 
150,000 barrel per day capacity P-68 FPSO in Berbigão-Sururu 
fields, which will be followed by a second FPSO in 2019 in the 
Atapu field. 
    * The consideration for the above transactions amounts to 
US$1.95 billion, including closing adjustments. This amount does 
not include US$ 400 million that can be triggered by Petrobras 
to carry a part of its investment share in the Iara development 
fields and contingent payments 
    * Transactions give shape to the Strategic Alliance between 
Petrobras and Total, allowing them to combine their 
deep-offshore expertise 
 
 ((sudip.kargupta@thomsonreuters.com;))