OGX Gets Clearance to Develop Campos Basin Oil Fields

OGX Petróleo e Gás Participações S.A., an oil and gas company owned by Eike Batista, who recently lost his billionaire status, announced today that it has received the Installation License to start the activities related to the development of oil production in BM-C-39 and BM-C-40 blocks, in the Campos Basin, offshore Brazil.

The Installation License was granted by IBAMA (the Brazilian Institute for Environment and Renewable Natural Resources) on August 9, 2013.

The blocks BM-C-39 and BM-C-40 comprise the Tubarão Martelo and Rêmora fields and are located approximately 95 Kilometers off the Brazilian coast at a water depth of around 110 meters. The Tubarão Martelo Field will be developed with FPSO OSX-3, which is on the way to Brazil and has delivery expected for 3Q13, and its production start-up is estimated for the end of the year.

Recently, OGX has entered into an agreement with PETRONAS Brasil E&P Ltda (“Petronas”) to sell a 40% non-operating work interest in BM-C-39 and BM-C-40 blocks. The transaction is subject to approval from Brazil’s National Petroleum, Natural Gas and Biofuels Agency (“ANP”) and the Brazilian Council for Economic Defense (“CADE”).

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