Statoil buys Brazilian deep-water block from ConocoPhillips

Norwegian oil and gas group Statoil has bought the remaining 70 % stake in a deep-water block off Brazil, called BM-ES-11, from ConocoPhillips for an undisclosed sum, the Norwegian firm said. It already had a 30 % stake in the block, which it bought in 2002.
"The group now becomes operator for the licence," Statoil said. Statoil spokesman Kai Nielsen said that no wells had yet been drilled on the block, but the company would decide by the middle of this year whether to drill.

Statoil added that it was evaluating seismic data to decide what to do next with the block which lies in the Espirito Santo Basin, about 200 km (120 miles) from land in an area with water depths of 1,100 to 1,900 metres (3,608-6,234 feet).
"Statoil has interests in four Brazilian offshore licences and wants to extend its level of activity in the South American country," it said.

State-controlled Statoil, the biggest operator on the Norwegian continental shelf, has increasingly looked overseas to find new oil and gas reserves as prospects for oil production off Norway have begun to taper off.