BRASPETRO NEGOTIATING CUBAN E&D VENTURE

Another South American state oil company is negotiating a venture in Cuba. Brazilian Petroleos Brasileiro SA's Braspetro is negotiating with Cuba's Uniao del Petroleo a risk contract covering offshore and onshore exploration and development along Cuba's northern coast. Braspetro also may provide technical help in refining and marketing Cuban petroleum products. That follows reports of Havana negotiating with Petroleos de Venezuela SA a proposed joint venture refining deal in Cuba

Nov. 18, 1991

2 min read

Another South American state oil company is negotiating a venture in Cuba.

Brazilian Petroleos Brasileiro SA's Braspetro is negotiating with Cuba's Uniao del Petroleo a risk contract covering offshore and onshore exploration and development along Cuba's northern coast.

Braspetro also may provide technical help in refining and marketing Cuban petroleum products.

That follows reports of Havana negotiating with Petroleos de Venezuela SA a proposed joint venture refining deal in Cuba (OGJ, Nov. 11, p. 20).

Cuba is scrambling to line up other oil supplies following a big cut in subsidized Soviet oil imports. Cuba's oil production of about 15,000-18,000 b/d comes from 10 small fields, mostly along the northern coast.

Studies are under way covering exploration of onshore Block 12, Block 4 in shallow waters, and three structures in water depths exceeding 350 m.

Braspetro also is considering participating in further development of Varadero oil field, a 1971 strike that is the biggest in the northern Cuban basin. Officials 2 years ago projected Varadero production at 24,000 b/d in 1990, but production has fallen far short of that.

Cuban geologists believe Varadero pay may extend offshore. Studies of that potential are near completion.