– OGX Acquires Petrobras’ 40% stake in BS-4 Block –
RIO DE JANEIRO -- November 26, 2012
OGX Petróleo e Gás Participações S.A. (“OGX”) (Bovespa: OGXP3; OTC: OGXPY.PK),
Brazil’s largest private oil and natural gas exploration company, announced
today that it has entered into an agreement with Petrobras to acquire a 40%
participating interest in Block BS-4, located in the Santos Basin.
The purchase and sale is subject to National Petroleum, Natural Gas and
Biofuels Agency (ANP) approval.
"We are very pleased with this acquisition, which demonstrates that OGX is
aware of business opportunities in Brazil that can contribute to the growth of
our portfolio," said Luiz Carneiro, Chief Executive Officer of OGX.
The remaining concession rights for Block BS-4 belong to a consortium formed
by Queiroz Galvão Exploração e Produção SA, which holds the operatorship and a
30% participating interest, and Barra Energia do Brasil Petróleo e Gás Ltda.,
which also holds a 30% participating interest. These stakes remain unchanged.
The acquisition price for OGX’s 40% stake in the Block BS-4 was US$270
The BS-4 block encompasses two post-salt oil fields known as Atlanta and
Oliva. The fields are located 185 kilometers off the Brazilian coast at a
water depth of approximately 1,500 meters, with oil quality from 14º to 16º
API. The recently revised Development Plans of the fields are under analysis
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 28
exploratory blocks in the Campos, Santos, Espírito Santo, Pará-Maranhão and
Parnaíba Basins, in Brazil, and 5 exploratory blocks in Colombia, in Lower
Magdalena Valley and in Cesar-Ranchería basins. The total extension area is of
approximately 5,700 km² in sea and approximately 36,900 km² in land, with
24,500 km² in Brazil and 12,400 km² in Colombia. OGX relies on an experienced
management team and holds a solid cash position, with approximately US$2.5
billion in cash (as of September, 2012) to fund its E&P investments and new
opportunities. In June 2008, the company went public raising R$6.7 billion,
the largest amount ever raised in a Brazilian primary IPO at that moment. 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.
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.
Each investor must conduct and rely on its own evaluation, including of the
associated risks, in making an investment decision.
Roberto Monteiro / Eduardo Lucchesi
+55 21 2555 6237
Daniele Rivera, +55 21 2555 7568
Press spacebar to pause and continue. Press esc to stop.