Batista's Oleo e Gas Jan. oil output down 1.7 pct; above outlook

lunes 10 de febrero de 2014 19:42 GYT

By Jeb Blount

RIO DE JANEIRO Feb 10 (Reuters) - Brazilian tycoon Eike Batista's bankrupt Oleo e Gas Participações SA produced 351,853 barrels of oil and natural gas from its Tubarão Martelo offshore field in January, the company said in a securities filing on Monday.

The output represents an average 11,350 barrels of oil and equivalent natural gas a day (boepd), or 1.8 percent less than in December, when Tubarão Martelo, the company's only producing field, began output.

The total output was about 12 percent above the average 314,083 barrels a month the company expected to produce in the first 12 months of operation, according to a report by Degolyer & MacNaughton, a Dallas-based oil reserve certification company that estimated potential output from the field in June.

The oil should be worth about $36.2 million, according to the $103/barrel estimate in the D&G report. Tubarão Martelo, though, started producing about 5 months behind the schedule laid out in the D&G report. Oil from the field sells at a discount to Brent Crude, which fell 0.88 percent on Monday to $108.63 a barrel.

Tubarão Martelo is one of the last chances Oleo e Gas has to produce revenue as part of a restructuring plan accepted by major creditors last week. Oleo e Gas, formerly known as OGX Petroleo e Gas Participações SA, filed for what would be Latin America's largest bankruptcy on Oct. 30.

Under the agreement, Batista, once Brazil's richest man, will give up control of the company. (Reporting by Jeb Blount; Editing by Dan Grebler)