Campos Basin in RJ Records Lowest Oil Production of the Century, According to Ineep

According to Ineep, the Campos Basin Experienced a Decline in Daily Oil Production

Located in the northern Fluminense region, the Campos Basin recorded the lowest production volume of this century at the end of 2020, with 679,000 barrels of oil per day. Of this total, only 607 barrels of oil were extracted by Petrobras, according to data released by the company and compiled by the Institute of Strategic Studies on Oil, Natural Gas, and Biofuels (Ineep).

Also Read

• Brazil Offshore 2019 Is Countdown and 70% of Areas Occupied
• Workers Threaten Strike After Petrobras Refinery Sale in Bahia for Half Its Value, According to Ineep
• 2020 – Investments in Oil and Gas Exploration and Production Will Be the Lowest in the Last 13 Years
• Refineries – Gasoline Hits Lowest Level in At Least 15 Years, With the Liter Below R$ 1
• Thermal Power Plant in Pará Receives Government License for New Construction Phase

The data from Ineep shows a decline compared to the statistics from 2000, when oil production in the Campos Basin reached the mark of 1 million barrels per day. The region’s performance has been declining year after year.

In 2017, production in the Campos Basin fell below 1 million barrels of oil per day. And, over the last six years, it has halved, according to Ineep (in 2015, it was 1.34 million barrels of oil per day). This is due to giant fields that, in the past, responded for 80% of the oil extracted in the country entering a phase of decline. The sustainability of resource utilization in the region depends on investment and the use of recovery technologies.

Ineep Explains the Data on the Campos Basin

According to Ineep, despite shrinking its presence, Petrobras still accounts for 90% of the total produced in the Campos Basin. This is because the production of private competing companies in the region has also decreased.

From 2015 to 2020, oil extraction fell by 47%, from 133,700 barrels per day to 71,200 barrels per day. Only Parenco, Trideny, and PetroRio extracted more oil in the Campos Basin during this period. In contrast, Shell, Equinor, and Dommo saw significant reductions. Chevron suspended production in 2020.

“These data show that the replacement of Petrobras by the private sector will not happen automatically and, so far, is resulting in a sharp decline in production in the region. This can be explained, on one hand, by the inability of private oil companies to make the enormous investments undertaken by the state-owned company and, on the other hand, by the fact that these companies have shifted their priorities over time. Shell and Chevron, for example, tend to focus their efforts in the pre-salt area instead of the Campos Basin,” states Ineep in its study.

About the Campos Basin

The Campos Basin is a Brazilian sedimentary basin located off the northern coast of the state of Rio de Janeiro, extending to the south of the state of Espírito Santo, between parallels 21 and 23 south. It covers approximately 115,800.00 square kilometers.

The main exploration and production activities are carried out in the city of Macaé, where Petrobras has a base at Imbetiba Beach, in addition to the municipalities of Campos dos Goytacazes, São João da Barra, Quissamã, Carapebus, and the southern region of the state of Espírito Santo.