Repsol Begins Accelerated Hydrocarbon Production in the Orinoco Belt

Antonio Brufau reviewed the plans of the company in Venezuela with Venezuelan Minister Rafael Ramírez

-Today, Repsol CEO and Chairman Antonio Brufau attended the first oil ceremony for the first well in the development plan for the Carabobo field, situated in the Orinoco Belt, one of the areas in the world with the largest untapped hydrocarbon reserves.
-The Carabobo project could yield production of up to 400,000 barrels per day of extra heavy crude oil, and includes the construction of a heavy crude oil upgrader which will enable what is produced to be converted into 16 º API.
-Antonio Brufau and the Venezuelan Petroleum and Mining Minister, Rafael Ramírez, reviewed the development plan for the Perla megafield, one of the biggest natural gas projects in the world with a volume of gas in situ of approximately 3 billion barrels equivalent of oil.

Antonio Brufau, Repsol CEO and Chairman, attended today the first oil production ceremony for the Carabobo well, situated in the Orinoco Oil Belt. The well is operated by Petrocarabobo, a joint-venture company set up in Venezuela in June 2010 in which PDVSA has a 60% stake and Repsol owns 11%, with other companies also owning stakes.

Antonio Brufau went over the company’s projects in Venezuela with the Venezuelan Petroleum and Mining Minister Rafael Ramirez. These projects include the Perla megafield development in the Cardón IV block, which began in August 2012 and is one of the biggest natural gas projects in the world.

The production started today assumes implementation of an accelerated plan that develops according to the planned scheduled. The plan is expected to yield 30,000 barrels per day in the first phase, going up to 90,000 barrels per day in the second phase.

The accelerated production plan is part of the general development plan for the Carabobo field, the objective of which is to yield production of up to 400,000 barrels per day of extra heavy crude oil, as well as to build a heavy crude oil upgrader capable of transforming what is produced from 8° API to a crude oil mix of 16° API.

The Petrocarabobo joint-venture, in which PDVSA and Repsol share stakes with India Oil and Natural Gas Corporation and Petronas, each with 11%, and Oil India Limited and Indian Oil Corporation Limited who each own 3.5%, consists of developing heavy crude oil reserves in the Carabobo 1 North and Carabobo 1 Centre areas, located in the Orinoco Oil Belt.

With the Carabobo development, Repsol will increase production in line with the targets set in its Strategic Plan. Part of the heavy crude oil of this project will go to Repsol’s Spanish refineries, which will give the company the chance to use the advanced deep conversion techniques they have been developing in their facilities.

Repsol in Venezuela

Repsol has been operating in Venezuela’s oil and gas industry since 1993, and in 2011 its average net production was 42,300 barrels of oil equivalent per day. The company is strongly committed to the growth of the country, taking an active part in its development by creating jobs and supporting and setting up social development programmes.

Especially significant is the company’s participation in the Cardón IV block, where the Perla megafield is situated. This was one of the five biggest discoveries in the world made in 2009, with development beginning in December 2011. The Perla megafield contains around 17 trillion cubic feet (TCF) of gas in situ, the equivalent of approximately 3 billion barrels of oil.