RIO DE JANEIRO--(BUSINESS WIRE)--OGX Petróleo e Gás Participações S.A. (“OGX”) (Bovespa: OGXP3; OTC: OGXPY), the Brazilian oil and gas company responsible for the largest private-sector exploratory campaign in Brazil, today announced that it has identified the presence of hydrocarbons in the Santonian section of 1-OGX-47-RJS well, in the BM-S-59 block, in the shallow waters of the Santos Basin. OGX holds a 100% working interest in this block.
“This discovery in conventional reservoirs of the Santos Basin contributes significantly to the development of our assets in this region. When combined with the discoveries that we have already made, we will be able to optimize the operational structure of this area by taking advantage of the economies of scale,” commented Mr. Paulo Mendonça, General Executive Officer and Exploration Officer of OGX. “Following the drilling campaign, we will intensify both the appraisal process of the several discoveries for this basin, as well as the development of the production model for the region,” added Mr. Mendonça.
A hydrocarbon column of approximately 131 meters was encountered in the sandstone reservoirs of the Santonian section with about 51 meters of net pay. This discovery is located 2.9 kilometers from the Natal accumulation which was discovered through the drilling of well OGX-11.
The OGX-47 well, named as Maceió, is located in the BM-S-59 block and is situated approximately 110 kilometers off the coast of the state of Rio de Janeiro at a water depth of approximately 185 meters. The Ocean Quest rig initiated drilling activities on May 24, 2011.
ABOUT OGX
OGX Petróleo e Gás SA is focused on oil and natural gas exploration and production and is conducting the largest private-sector exploratory campaign in Brazil. OGX has a diversified, high-potential portfolio, comprised of 29 exploratory blocks in the Campos, Santos, Espírito Santo, Pará-Maranhão and Parnaíba Basins in Brazil, and 5 exploratory blocks in Colombia, in the Middle Magdalena Valley, the Lower Magdalena Valley and the Cesar-Ranchería basins. The total extension area is of approximately 7,000 km² in sea and approximately 34,000 km² on land, with 21,500 km² in Brazil and 12,500 km² in Colombia. OGX relies upon an experienced management team and holds a solid cash position, with approximately US$ 5.1 billion in cash (pro-forma as of March, 2011) to fund its E&P investments and new opportunities. In June 2008, the company went public raising R$ 6.7 billion, which at the time was the largest amount ever raised in a Brazilian primary IPO. OGX is a member of the EBX Group, an industrial group founded and under the leadership of Brazilian entrepreneur Eike F. Batista, who has a proven track record in developing new ventures in the natural resources and infrastructure sectors. For more information, please visit www.ogx.com.br/ir.
LEGAL NOTICE
This document contains Company-related statements and information that reflect the current vision and/or expectations the Company and its management have regarding its business plan. These include, among others, all forward-looking statements that involve forecasts and projections, indicate or imply results, performance or future achievements, and may contain words such as “believe,” “foresee,” “expect,” “consider,” “is likely to result in” or other words or expressions of similar meaning. Such statements are subject to a series of expressive risks, uncertainty and premises. Please be advised that several important factors can cause the actual results to diverge materially from the plans, objectives, expectations, estimations, and intentions expressed in this document. In no event shall the Company or the members of its board, directors, assigns or employees be liable to any third party (including investors) for investment decisions or acts or business carried out based on the information and statements that appear in this presentation, or for indirect damage, lost profit or related issues. The Company does not intend to provide to potential shareholders with a revision of the statements or an analysis of the differences between the statements and the actual results. You are urged to carefully review OGX's offering circular, including the risk factors included therein. This presentation does not purport to be all-inclusive or to contain all the information that a prospective investor may desire in evaluating OGX. Each investor must conduct and rely on its own evaluation, including of the associated risks, in making an investment decision.