According to Brazil's Haroldo Lima, head of the government's oil and fuel market regulator, the new find of oil in the prolific Santos basin has the potential to yield 33 billion barrels of oil. If that projection holds, it'll be the largest oil find in 30 years across the world.
"It could be the world's biggest discovery in the past 30 years, and the world's third-biggest currently active field," said Lima.
This goes along with recent significant finds in what is called the Tupi field, as well as another called Juniper. Tupi is projected to have between 5 to 8 billion barrels of oil, while Juniper has huge gas reserves, as well as oil.
If the reserves are close to being accurate, it would vault Brazil in the top ten of oil-producing nations worldwide.
BG Group and Repsol-YPF are partners in the venture, with state-owned Petrobras (NYSE:PZE); with BG holding a 30 percent stake and Repsol 25 percent.
As we talked about recently, these discoveries continue to demolish the "Peak Oil" myth, and take away the idea that we are in imminent energy trouble. Some day that will probably happen, as far as reserves being deplenished, but that day is looking further and further away, and we don't need to panic by making foolish, short-term decisions that can do more damage than good.
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U.S. Energy Secretary Samuel Bodman finally acknowledged that using ethanol based on corn has been a huge factor in the outrageous prices of food across the world.His comment that we should begin "moving away gradually" from ethanol that was ... [Read More]
Tracked on: April 20, 2008 11:03 AM | Permalink to Trackback