Oil and Gas Exploration and Production
Oil and natural gas exploration and production are our core activities. We seek to increase our reserves and develop production to make sure we can meet the increased demand for energy. With technology and the persistence of our employees, we overcome challenges that once seemed impossible, such as the deep waters of the Campos Basin, in the 1970s. Today, production in deep pre-salt waters is already a consolidated reality. Therefore, we are always expanding our operations in a sustainable manner in areas with great potential for exploration and production.
Most of our oil reserves are nestled in offshore fields, a fact that has led our drilling activities to achieve increasing depths. We expect to reach total production of oil and gas (Brazil and international) of 3.7 million boed in 2020. We estimate that, by then, the pre-salt will represent more than 50% of total oil production.
To operate in pre-salt and post-salt areas, several platforms have come into operation in recent years, such as P-58, P-62, the FPSOs Cidade de Mangaratiba, Cidade de Ilhabela, among others. Platforms FPSO P-63 and P-61 (a Tension Leg Wellhead Platform - TLWP) were installed in the Papa-Terra field (Campos Basin). These platforms will work integrated and with a combined processing capacity of 140,000 bpd of oil and a million cubic meters of gas per day. FPSO Cidade de Itaguaí also went on stream in 2015, kicking production off at the Iracema Norte project, in the Lula field, in the pre-salt cluster in the Santos Basin, off the coast of Rio de Janeiro.
We also have significant production onshore, concentrated, mainly, in Northern and Northeastern Brazil and, to a lesser extent, in the Southeast, in the Espírito Santo area.
In addition, we have promoted actions to optimize production and extend the life of mature fields. An example is the Program for Increasing Operating Efficiency in the Campos Basin (Proef), which managed to reverse the downward trend in efficiency at the Campos Basin and Rio de Janeiro operating units. The Associated Gas Utilization Optimization Program (Poag 2015) has also contributed to improve the performance of operating units in Southeastern Brazil.
Until 2019, we plan to invest US$ 80 billion in oil and gas exploration and production.