OGX has entered into an agreement with Petrobras to acquire a 40% participating interest in Block BS-4, located in the Santos Basin. The purchase and sale is subject to National Petroleum, Natural Gas and Biofuels Agency (ANP) approval.

“We are very pleased with this acquisition, which demonstrates that OGX is aware of business opportunities in Brazil that can contribute to the growth of our portfolio,” said Luiz Carneiro, Chief Executive Officer of OGX.

The remaining concession rights for Block BS-4 belong to a consortium formed by Queiroz Galvão Exploração e Produção SA, which holds the operatorship and a 30% participating interest, and Barra Energia do Brasil Petróleo e Gás Ltda., which also holds a 30% participating interest. These stakes remain unchanged.

The acquisition price for OGX’s 40% stake in the Block BS-4 was U$270 million.

The BS-4 block encompasses two post-salt oil fields known as Atlanta and Oliva. The fields are located 185 kilometers off the Brazilian coast at a water depth of approximately 1,500 meters, with oil quality from 14º to 16º API. The recently revised Development Plans of the fields are under analysis by ANP.

Press Release, November 27, 2012