Appraisal Drilling Starts At Carcara Area (Brazil)

QGEP Participações S.A. has announced the drilling of the appraisal well at the Carcará discovery has begun at Block BM-S-8, in the ultra-deep waters of the Santos Basin pre-salt, offshore Brazil

Appraisal Drilling Starts At Carcara Area (Brazil)

Drilling began on December 14th, approximately 5km from the pioneer well, using the NS-32 Rig (Norbe VIII). Drilling will be carried out in two phases, due to the need for a rig with equipment suitable for drilling deep reservoirs with a high level of operational efficiency and safety. This first phase of drilling is estimated to be concluded in the end of the first quarter of 2014.

“The drilling of the Carcará appraisal well will provide us fundamental data that will allow us to better assess this discovery and understand the potential of the Block,” said Sérgio Michelucci, QGEP‘s Exploration Officer.

The Carcará discovery is located in Block BM-S-8, in the pre-salt area of the Santos Basin, approximately 230km off the coast of São Paulo. The Carcará well showed a continuous column of at least 471 meters of 31º API oil with more than 400 meters of microbial carbonates, with excellent porosity and permeability conditions.

Queiroz Galvão Exploração e Produção S.A. holds a 10% participating interest in this block, which is operated by Petrobras (66%). Other consortium members include Petrogal Brasil (14%) and Barra Energia do Brasil Petróleo e Gás Ltda. (10%).

December 30, 2013