Total to Develop Libra Project in Offshore Brazil

By Nathan AllenFeaturesDow Jones Newswires

France's Total SA (FP.FR) said Monday that it has taken a final investment decision to progress to the next stage of development in its deep offshore Libra project in Brazil.

Total said it plans to deploy a floating production, storage and offloading unit, or FPSO, with a production capacity of 150,000 barrels of oil a day at the project, which is located around 180 kilometers off the coast of Rio de Janeiro.

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"We have worked with Petrobras [Petroleo Brasileiro SA (PBR)], the operator, and our partners to secure technical costs below 20 dollars per barrel," said Arnaud Breuillac, Total's president for exploration & production.

The company has been producing oil at the Libra project since November via a 50,000 barrel a day FPSO to appraise the field and generate early revenue, according to Total.

In the long term, Total expects to add three further vessels to reach a total production volume of 600,000 barrels a day, the company said.

Petrobras leads the Libra consortium and holds a 40% stake in the venture, while Total and Royal Dutch Shell PLC (RDSA.LN) each hold 20%. China's CNPC and CNOOC Ltd. (0883.HK) both hold 10% stakes.

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(END) Dow Jones Newswires

December 18, 2017 05:57 ET (10:57 GMT)