Petrobras shuts down Brazilian gas field again over pipeline issue

Brazilian oil and gas giant Petrobras has stopped gas production from the Manati field, located offshore Brazil, due to an issue related to the closure of the export pipeline’s subsea valve.

Petrobras reported on Monday that the production of gas from the Manati field, located in the Camamu Basin, in the state of Bahia, was stopped on Friday, 10 December 2021 due to the improper closure of a valve in the field’s partly submerged export gas pipeline.

Petrobras shuts down production at Brazilian field over valve closure issue
Manati field; Source: Petrobras

The field is operated by Petrobras, who claims the pipeline’s operation was safely interrupted and teams were mobilized for the repair, with an expected return within a week.

Enauta, whose subsidiary Enauta Energia holds a 45 per cent working interest in the field, informed the operator is assessing the causes of this incident and resumption will be estimated.

Petrobras also confirmed the causes of the incident are being investigated and assured there is no risk of discontinuity in the fulfilment of its commitments to its customers.

This is the second time the production in the field was halted this year. Previously, the production was interrupted due to small gas leakage on 27 September. It was resumed on 3 October 2021 after the repair of the pipeline between the compression station and the gas treatment station was completed.

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Manati wells are connected by subsea lines to the PMNT-1 platform, which is a fixed production unit installed at a water depth of 35 metres, 10 kilometres offshore. Gas flows from there through a 36-kilometre pipeline to the Compression Plant (SCOMP), where it is compressed and travels another 89 kilometres to the Processing Plant (EVF). Aside from gas, the Manati field also produces condensate.

Courtesy of Enauta

Moreover, it is worth noting that Petrobras advertised its intention to sell its entire 35 per cent stake in the Manati field, in early May 2020.

A few months later, both PetroRio and Enauta announced agreements to sell their entire interest in this field to Gas Bridge. The effective date of the sale was announced as 31 December 2020. As the transaction is subject to a series of conditions precedent, all actions required for the conclusion of the agreement are expected to be completed by 31 December 2021.

In addition, GeoPark also approved an agreement in November 2020 to sell its 10 per cent non-operated working interest in the field to Gas Bridge for about $27 million. The closing of this transaction is also expected in the fourth quarter of 2021.

Currently, the Manati field’s operator Petrobras holds a 35 per cent stake in the field, while its partners are Enauta Energia with 45 per cent interest, GeoPark LTDA with 10 per cent and Petro Rio Coral Exploração Petrolífera LTDA, who holds the remaining 10 per cent.

Based on the operator’s records, the average production of the field in November 2021 was 3.42 million m3/d, of which 1.20 million m3/d was Petrobras’ share.