- Shell Brasil approves the Gato do Mato offshore project, targeting 120,000 barrels per day by 2029.
- The project spans two blocks in Brazil’s Santos Basin, with an estimated 370 million barrels of recoverable oil.
- Shell (50%), Ecopetrol (30%), and TotalEnergies (20%) are partners. Production is set to begin in 2029.
Shell Brasil Petróleo Ltda., a subsidiary of Shell plc, has approved the development of the Gato do Mato offshore oil field in Brazil’s Santos Basin. This move strengthens Shell’s role as Brazil’s top foreign oil producer.
The Gato do Mato field in the pre-salt zone near Rio de Janeiro will produce 120,000 barrels of oil per day by 2029. Shell leads the project with a 50% stake, while Ecopetrol holds 30% and TotalEnergies 20%. Pré-Sal Petróleo S.A. (PPSA) manages the production-sharing contract.
The field contains an estimated 370 million barrels of recoverable oil. To achieve this production target, Shell plans to deploy a Floating Production Storage and Offloading (FPSO) unit. Initially, the team will reinject natural gas to maintain reservoir pressure and may export the gas to onshore facilities later.
The Gato do Mato project spans two blocks. Shell secured BM-S-54 through a 2005 concession contract and Sul de Gato do Mato through a 2017 production-sharing agreement. The blocks lie in water depths ranging from 1,750 to 2,050 metres.
Shell reports that the project’s internal rate of return exceeds its Upstream segment’s minimum requirement. The company plans to start production by 2029 to ensure stable oil output and expand operations in high-potential offshore areas.
Zoë Yujnovich, Shell’s Integrated Gas and Upstream Director, emphasises the company’s focus on high-efficiency developments and says this project strengthens Shell’s position as Brazil’s leading foreign oil producer.
Shell continues to invest heavily in Brazil’s offshore oil sector, seeking to tap into the country’s vast pre-salt oil reserves. These reserves, located deep beneath the seabed, hold large quantities of oil and gas, making Brazil a global hotspot for energy investments.
Shell aims to significantly boost Brazil’s oil production with the Gato do Mato field. As Latin America’s largest oil producer, Brazil has been steadily increasing its output, especially from its pre-salt offshore fields. Global energy companies, including Shell, continue to invest in these promising areas.
By advancing the Gato do Mato project, Shell demonstrates its long-term commitment to Brazil’s oil industry. Having operated in Brazil for over a century, Shell remains a key player in the country’s energy sector. The Gato do Mato project helps solidify Shell’s leadership role in Brazil’s offshore oil production.
The project reflects Shell’s broader focus on high-return, long-term ventures. Despite the global shift toward cleaner energy, Shell prioritises its presence in the oil and gas industry, especially in regions like Brazil with untapped reserves.
Shell’s approval of the Gato do Mato project marks a crucial step in enhancing oil production and maintaining leadership in Brazil’s offshore oil industry.