RIO DE JANEIRO, Aug 6 (Reuters) - Brazil’s state-run oil company Petroleo Brasileiro SA said on Wednesday that the consortium that won the rights to tap the giant offshore Libra prospect has begun to drill its first exploratory well.
The consortium led by Petrobras, with a 40 percent stake, includes France’s Total SA and Anglo-Dutch Royal Dutch Shell Plc with 20 percent each, and China’s National Petroleum Corp and CNOOC, each with 10 percent.
Petrobras said the well known as 3-RJS-731 is the first of two planned in the initial exploration phase and will reach a depth of 5,850 meters. Libra is the biggest oil reserve discovered in Brazil, holding an estimated 8 billion to 12 billion barrels of oil.
The first exploration program will be completed by the end of 2017, Petrobras said. The consortium hopes to enter production in 2020.
Petrobras said earlier this year that the consortium plans to invest $400 million to $500 million in Libra this year. (Reporting by Juliana Schincariol; Editing by Lisa Shumaker)