Niko Resources Seeks Oil Assets After Talks With OGX, Shell

Niko Resources Ltd., a Canadian company that explores for oil and gas in seven countries, said it is planning to bid for Brazilian oil blocks or buy stakes in existing exploration areas.

Calgary-based Niko has studied areas OGX Petroleo e Gas Participacoes SA, Royal Dutch Shell Plc., and Petra Energia SA are selling in Brazil, Marty Wittstrom, Niko’s general manager for South America, said today in an interview in Rio de Janeiro. Niko is also trying to contact Galp Energia SGPS SA, Portugal’s biggest oil company, about a possible partnership, he said.

Oil companies including BP Plc., Sinochem Group and Total SA have bought stakes in Brazilian oil projects over the past year as the country increases production. Brazil holds the two largest oil discoveries in the Americas in over three decades.

“We’re on the hunt for the right entry point,” Wittstrom said. “Niko is developing a competency in deepwater exploration, so it’s natural to what we’ve gravitated towards.”

To contact the reporter on this story: Peter Millard in Rio de Janeiro at Pmillard1@bloomberg.net

To contact the editor responsible for this story: Dale Crofts at dcrofts@bloomberg.net

Press spacebar to pause and continue. Press esc to stop.

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.