Largest Oil and Gas Discovery in a Quarter Century by BP in Brazilian Waters
BP Makes Major Oil and Gas Discovery Off the Coast of Brazil
BP, the British multinational oil and gas company, has made its tenth discovery of the year, and the largest in 25 years, at the Bumerangue prospect offshore Brazil. The discovery was made in deep water, at a depth of 2,372 meters, and is located 404 kilometers from Rio de Janeiro.
The Bumerangue prospect features a 500-meter hydrocarbon column in a high-quality pre-salt carbonate reservoir spanning over 300 square kilometers. BP holds 100% participation in the block, which it secured in late 2022.
This latest discovery is a significant boost for BP, which is currently undergoing a major overhaul to focus on its oil and gas business. The company plans to drill around 40 wells globally over the next three years, with approximately 15 wells planned for this year alone.
BP's executive vice president for production and operations, Gordon Birrell, stated that this is another success in what has been an exceptional year for the company's exploration team. The discovery is part of BP's commitment to growing its upstream business, with the company targeting assets with rapid development potential and favorable fiscal terms.
The discovery was made in the Santos Basin, and follows a series of successful explorations by BP in various parts of the Atlantic Basin, including Egypt, Angola, Namibia, the Gulf of Mexico, and Trinidad. The company has brought five major oil and gas projects onstream and sanctioned four more so far in 2025, indicating an aggressive growth and development pace.
BP's future production goals include growing its global upstream production to between 2.3 and 2.5 million barrels of oil equivalent per day by 2030. This ambitious target reflects BP’s strategic shift to balance long-term value creation, energy security, and the economic potential of high-margin deepwater reserves, while progressing structural cost reductions and portfolio optimization.
The announcement of the discovery caused BP's shares to rise more than one percent on London's top-tier FTSE 100 index. However, the company's latest earnings will be published on Tuesday.
Meanwhile, rival Shell reported a 23-percent slide in first-half net profit last week, hit by lower oil and gas prices. In contrast, BP has shelved its once industry-leading renewable energy strategy, focusing instead on its oil and gas business. AJ Bell investment director Russ Mould stated that BP will use its latest numbers to convince the market it has revamped its strategy and moved away from the green push.
In conclusion, BP's current status is that of robust exploration success and project development, anchored by a landmark Brazilian discovery, with clear ambitions for substantial upstream production growth over the next decade.
- BP's current success in the oil and gas industry, evident in the recent discovery off the coast of Brazil, is a significant step towards their goal of growing global upstream production.
- The energy sector has seen BP's strategic shift, with a focus on high-margin deepwater reserves and a shelving of their renewable energy strategy, as demonstrated by their robust exploration and project development.
- As BP's ambitious production goals extend towards 2030, the company's investments in the oil and gas business, especially in deepwater reserves, are expected to contribute significantly to the finance sector, particularly in the finance of energy projects.
