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TimH
04-14-2008, 02:00 PM
SAO PAULO, Brazil -- A deep-water exploration area off Brazil's coast could contain as much as 33 billion barrels of oil, the head of Brazil's National Petroleum Agency said Monday. That would make it the world's third-largest known oil reserve.
Haroldo Lima cautioned that his information on the field off the coast of Rio de Janeiro is unofficial and needs to be confirmed.
The state-run Petrobras oil company declined comment on what would be the planet's largest oil find in decades, and its shares moved wildly in positive territory after Lima made the comments.
By early afternoon, the company's American depository shares were up 8.5 percent in New York, or US$9.54 (euro6.01), to US$122.39 (euro77.13). Petrobras shares in Brazil went on a wild rise, fluctuating between 2 percent and 7 percent higher and settling and up nearly 5 percent in late afternoon trading.
Lima told reporters that Petrobras "may have discovered a huge petroleum field that could contain reserves large as 33 billion barrels," amounting to the world's third-largest reserve, according to his spokesman, Luiz Fernando Manso.
Manso did not provide any details about where Lima got his information, except to say it came from "non-official, non-confirmed sources."
Lima's agency regulates Brazil's oil industry, and his comments appeared to represent confirmation of what experts have long suspected: That extremely deep exploration areas hundreds of miles (kilometers) off the nation's coast may hold potentially huge reserves.
Brazil's current proven oil reserves are 11.8 billion barrels, according to the U.S. Energy Department. The U.S. has 21.8 billion barrels in proven reserves.
"You're talking about a reserve the size of total U.S. reserves," said Tim Evans, an analyst with Citigroup Inc. in New York. "It's a big, big number."
If proven, the oil in the Carioca exploration area would also be five times larger than the Tupi oil field, whose estimated reserves of 8 billion barrels were announced by Petroleo Brasileiro SA in November. Petrobras also announced a blockbuster find of natural gas in February in an Atlantic Ocean field nicknamed Jupiter.
Industry experts say the Tupi and Jupiter fields alone could turn Brazil into a major oil and gas exporter and lead to it joining OPEC.
Petrobras is renowned for its deep-water drilling ability, and is widely regarded as one of the best state-run oil companies in the world.
Brazil became self-sufficient in oil production in 2006 but must import light crude oil for the refined products it needs. The country produces - and exports - mostly heavy crude oil, which has to be mixed with the light oil in refineries.
While the potential Brazil find could add significant supplies to a global oil market many see as tight, it would likely take the better part of a decade before any of oil finds its way to market. The site will need to be studied further, and drilling platforms must be designed, built and transported before it can start producing oil.
However, it does cast new doubt on peak oil theory, which postulates that world oil demand will soon outpace supply.
It is impossible to say whether or not more 33-billion-barrel oil fields exist under the sea, Evans said.
"Nobody really has data on what's out there in the middle of the ocean," Evans said.
Oil prices were unaffected by the news. Light, sweet crude for May delivery rose $1.07 (euro0.67) to $111.21 (euro70.08) a barrel in afternoon trading on the New York Mercantile Exchange, about where prices were trading before the Petrobras announcement.

LeeG
04-14-2008, 02:24 PM
"off Brazils coast",,,at what depth and what projected rate of production?

Look at the trend lines for superfield discoveries vs consumption. We're extracting at a greater rate than new fields can replace old ones.

TimH
04-14-2008, 02:26 PM
Is it time to move to Brasil yet?

Kaa
04-14-2008, 02:34 PM
Nah, it's impossible. Everyone knows we'll run out of oil in a few years, so there can be no large new discoveries any more. :D

Kaa

LeeG
04-14-2008, 02:38 PM
Kaa, playing with strawmen?

Joe Dupere
04-14-2008, 03:44 PM
From the CIA World Factbook
The USA
8.322 million bbl/day (2005 est.) Production
20.8 million bbl/day (2005 est.) Consumption


1.048 million bbl/day (2004) Exports
13.15 million bbl/day (2004) Imports

If my math is right, we have a net loss of .376 billion barrels per day in the US, so a 33 billion barrell oil field will last about 3 months. In ten years when it comes on line, assuming our production, consumption, imports and exports remain constant.

Joe, FPoP

elf
04-14-2008, 03:50 PM
The headline is incorrect. The oil field has been located in the Pacific Ocean, not in Brazil. Verbal precision is actually important if one wishes to further even-tempered conversation.

TimH
04-14-2008, 03:52 PM
off the coast of Brasil.

skuthorp
04-14-2008, 04:08 PM
So, when are you going to invade, or is it far enough off shore for you just to plug in?
Oh Yeah, that oddball I talked to last weekend, you know, the 'revolution' one. He said tat there's a gigantic SECRET oilfield under the US and Canada but the US isn't saying anything in case the Canadians want a stake too. Very interesting 99.

TimH
04-14-2008, 04:09 PM
SSSHHHHhhhhhh!!!!

Keith Wilson
04-14-2008, 04:09 PM
In the Pacific Ocean off the coast of Brazil? Hey George, have you guys gone and conquered Peru while we weren't paying attention? :D

elf
04-14-2008, 04:31 PM
Sorry, I know where the ocean is around Europe, I'm kinda weak on SAmerica...

George Roberts
04-14-2008, 04:44 PM
In 1995 there was a large field discovered in North Dakota. It is only now being explored.

Keith Wilson
04-14-2008, 04:44 PM
Here ya go:

http://www.map-of-south-america.us/south-america-map.gif

skuthorp
04-14-2008, 05:23 PM
Just a short hike over the hills Keith, don't know what you are quibbling about. Close enough to Brazil eh?

Milo Christensen
04-14-2008, 05:49 PM
I'm having like deja vu or whatever it's called, didn't we do this thread once before, without the geographically challenged humour?

Well, squeeze my sugar cane, there it is right there at the top of the similar threads.

carioca1232001
04-14-2008, 05:52 PM
Skuthorp, you will be surprised as to how much tangible info I have obtained from eccentric blokes, much like the chappy you ran into last weekend !

BTW, all great things are 'Carioca', which in the past included the inhabitants of Rio, and now, this gigantic oild-field around the corner !

doorstop
04-16-2008, 03:11 AM
!

BTW, all great things are 'Carioca', which in the past included the inhabitants of Rio, and now, this gigantic oild-field around the corner !

I suggest that you dig yourself a good deep bomb shelter because the yanks will be invading any minute now what with Brazil being a drug running/terrorist training/polygamous/moslemsympathising sort of a place which obviously needs a bloody great policeman to show it how its' new found oil should be used! ;)

Oyvind Snibsoer
04-16-2008, 05:43 AM
Is this the same find that was announced late last year? If so, it's ineresting because it was found under a layer of salt. The thing with salt is that it's impermeable for seismic waves, so there's no way of knowing with whether there may be hydrocarbons there or not until you drill. The same problem exists with igneous rock.

George.
04-16-2008, 06:02 AM
It is a new discovery, three times larger. And hopefully it is just a false rumour, meant to fuel some insider trading profits - the idiot who "unofficially" announced the "possible" discovery is being investigated.

I fervently hope they find no more oil in my state, at least, and preferrably not in my country either.

TimH
04-16-2008, 06:16 AM
Brazil really wishes it was one of the United States of America doesnt it?

:-)

skuthorp
04-16-2008, 05:23 PM
TimH: "Brazil really wishes it was one of the United States of America doesnt it?"

It could join Mexico and Canada in Tyler's "Greater American Co-prosperity Sphere".
(where have I heard that before)

Bob Adams
04-16-2008, 05:47 PM
I suggest that you dig yourself a good deep bomb shelter because the yanks will be invading any minute now what with Brazil being a drug running/terrorist training/polygamous/moslemsympathising sort of a place which obviously needs a bloody great policeman to show it how its' new found oil should be used! ;)

No worries, we've found methane generated by bull manure to be a better fuel....were invading Austrailia next:rolleyes:

skuthorp
04-16-2008, 06:27 PM
Remember to bring your own water Bob, there's b***** all here at present.

Oyvind Snibsoer
04-17-2008, 02:44 AM
Well, whatever the size of the reservoir turns out to be, it's not going to be easy to get at. Water depth is 2000 meters, and the ydrocarbons are a further 5000 meters below the seabed, under layers of salt, sand and, of course, rock. Both salt and sand are very challenging structures to drill, and the great depth won't make it any easier, although Petrobras is acknowledged as a world leader in deep sea drilling and production technology.

It will definitely not be "cheap oil".

George.
04-17-2008, 04:47 AM
TimH: "Brazil really wishes it was one of the United States of America doesnt it?"



The USA couldn't handle us - they are too puritanical. We'd freak them out and they would beg us to secede. :D

Tylerdurden
04-17-2008, 06:11 AM
You all do understand the Bush dynasty has a huge compound (actually several) in South America.

LeeG
04-17-2008, 08:37 AM
this isn't reporting, it's a pr piece. Jesus, this sh*t is good enough to invade a country on the basis of bad intel if you really wanted to learn something.

"While the potential Brazil find could add significant supplies to a global oil market many see as tight, it would likely take the better part of a decade before any of oil finds its way to market. The site will need to be studied further, and drilling platforms must be designed, built and transported before it can start producing oil.
However, it does cast new doubt on peak oil theory, which postulates that world oil demand will soon outpace supply."

this doesn't cast doubt on anything, least of all folks ability to read the news critically.

LeeG
04-17-2008, 08:46 AM
"It is impossible to say whether or not more 33-billion-barrel oil fields exist under the sea, Evans said.
"Nobody really has data on what's out there in the middle of the ocean," Evans said."


33billion hasn't been confirmed, therefore it's impossible to say Elvis Presley isn't living in the Marianis Trench playing guitar for microbes. This is Rumsfeldian logic all over again, you don't know what you don't know,,,so maybe Iraqs wmd are under 7,000ft of ocean and 10,000 ft. of earth along with a gazillion barrells of Koolaid.

You don't know do you?

We do know that the rate of consumption isn't being matched by the rate of new discoveries,,it's a trend line indicator like the gas gauge on your tank. You can get waffly about the appropriateness of the metaphor but jesus effing christ folks,,,this "article" isn't refuting Jack about peak oil.

LeeG
04-17-2008, 08:50 AM
just to clarify,,a huge oil field has not been discovered. But an unoffical interpretation has been used to spread disinformation.

http://europe.theoildrum.com/node/3853

http://www.reuters.com/article/marketsNews/idINN1546638820080415?rpc=44

Phillip Allen
04-17-2008, 08:53 AM
What would happen to the price of oil if a new discovery indicated the world's largest ever oil field would last ...say...100 years at present rate plus predicted rate of consumption?

would it be more profitable to keep such discoveries secret?

What is the nature of big business? Now add in human nature...?

LeeG
04-17-2008, 09:22 AM
I guess it would matter how big that worlds largest oil field is in comparison to all the other fields on line and in production. Using adjectives like biggest, newest, fastest are kind of meaningless without numbers or comparisons.

My take on it is that news producers are finding news that has marketable value. Kind of like how people were complaining that not enough good news was coming out of Iraq, so you'd hear "good news coming out of Iraq".

Wealth is flowing to oil producers,,,so hyping potential sources of income is a way for officials to get in the news.

ya gotta see the graph of superfield discoveries over the last 100yrs. Oil exploration didn't start in the last couple years. The rate of new discoveries isn't keeping up with the rate of consumption.

http://en.wikipedia.org/wiki/Peak_oil/Table_of_largest_oil_fields

TimH
04-17-2008, 11:25 AM
The USA couldn't handle us - they are too puritanical. We'd freak them out and they would beg us to secede. :D

We just want your oil and your women :D

Phillip Allen
04-17-2008, 12:07 PM
--------------------------------------------------------------------------------

"I guess it would matter how big that worlds largest oil field is in comparison to all the other fields on line and in production. Using adjectives like biggest, newest, fastest are kind of meaningless without numbers or comparisons."

It's an academic question...

George.
04-17-2008, 03:14 PM
We just want your oil and your women

Yes, but do our women want you? :D

paladin
04-17-2008, 03:59 PM
Something is going on...Chavez just rushed a resolution thru the givment headshed there to slam more taxes on top of the oil exports from his country........he may find it harder and harder to get his stuff to market......and his intent is to add a few billion a month to his favorite charity...