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Energy

Karoon Gas granted approval to proceed with farm-in to Brazilian offshore oil field

Karoon Gas (ASX: KAR) has received regulatory approval for its farm-in for a 20% stake in state oil company Petrobras’ Block S‐M‐1352, which hosts the Maruja Oil Field in the Santos Basin, offshore Brazil.

The Maruja-1 discovery well was drilled in the last quarter of 2010 and had flowed 4,675 barrels of oil and 0.8 million standard cubic feet of gas per day during testing.

This was followed by the Maruja-2 appraisal well located about 4.8 kilometres to the northeast, which encountered excellent quality reservoir sands which were interpreted to be water bearing at this location.

Petrobras is resuming its technical and commercial assessment of the Maruja discovery as it nears completion of discussions with oil and gas regulator Agência Nacional do Petróleo relating to the status of the Block.

Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.

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