BG Group declared the successful completion of drilling on the Iara Horst well (3-BRSA-891A-RJS) in the BM-S-11 concession in the Santos Basin, offshore Brazil. The well encountered good quality oil (28 degrees API) in a thick reservoir section.

The well was drilled at a water depth of 2 279 metres, approximately 230 kilometres off the coast of Rio de Janeiro. Initial results from Iara Horst have demonstrated superior reservoir characteristics compared with the original discovery well* which is located around eight kilometres away.

The discovery is currently held under the Iara Evaluation Plan in block BM-S-11. The Lula and Cernambi fields, for which Declaration of Commerciality was recently announced**, are located in another part of the same BM-S-11 concession.

Further evaluation activity will now continue on Iara in line with the National Petroleum Agency (ANP) approved appraisal plan which will include a Drill Stem Test in 2011.

BG Group has a 25% interest in BM-S-11 concession, offshore Brazil (Petrobras, operator 65%, Petrogal 10%).

Tags: BG Group