Santa Fe Snyder Brazilian well in production

Santa Fe Snyder Corp., Houston, on Friday said production is flowing from the Carauna field in the Potiguar basin off Brazil. The company anticipates drilling at least two exploration wells on its BPOT-2 and BES-3 leases this year in addition to the current development of Carauna.


Santa Fe Snyder Corp., Houston, on Friday said production is flowing from the Carauna field in the Potiguar basin off Brazil. Santa Fe Snyder says it is the first foreign operator to develop production off Brazil since the opening of oil and gas exploration to non-Brazilian companies in 1998.

Production has commenced from CES-124, a reentered Petrobras well with perforations in the Acu formation at about 1,000 m. It flowed at an initial rate of 1,000 b/d of crude with a gravity of 23� API. Santa Fe Snyder plans to reenter a total of three wells and drill two additional wells in 2000 as a pilot program to conduct testing for 1 year.

The company anticipates that after full field development, gross production will increase to a peak of more than 30,000 b/d by 2004.

The field is about 30 km from the coast of the state of Ceara in 60 ft of water. Santa Fe Snyder is operator with 51.4% working interest. Other partners are Repsol-YPF, 26.2%; Petrobras, 20%; and SOTEP, 2.4%. The well is being produced through a mobile offshore production unit into a floating storage and offloading tanker.

With the recent award of an exploration block in the Campos Basin, the company now has a total of four blocks in Brazil, said James L. Payne, chairman and CEO of Santa Fe Snyder. The company anticipates drilling at least two exploration wells on its BPOT-2 and BES-3 leases this year in addition to the current development of Carauna.

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