PETRONAS Brasil, a subsidiary of Malaysian oil and gas company Petroliam Nasional Berhad (PETRONAS), has signed an agreement with OGX Petroleo e Gas (OGX) to buy its interest in two offshore blocks in the Campos Basin in Brazil.

PETRONAS Brasil signed the deal earlier this week to pick up OGX‘s 40% stake in blocks BM-C-39 and BM-C-40 for a total consideration of RM2.6bn ($850m).

Both blocks are situated in shallow waters, 95km offshore of the Brazilian state of Rio de Janeiro, and include the Tubarão Martelo field, which is currently under development.

OGX estimated the Tubarão Martelo field, which was earlier known as the Waimea accumulation, holds recoverable volumes of 285 million barrels.

The first oil production at the Waimea accumulation took place in January 2012, while the current output from a single production well is 12,500 barrels of oil a day.

"PETRONAS Brasil signed the deal earlier this week to pick up OGX’s 40% stake in blocks BM-C-39 and BM-C-40."

In November 2012, OGX, as the operator, commenced a drilling campaign in blocks BM-C-37 and BM-C-38 of the oil field.

PETRONAS said the proposed acquisition, which is at the asset level, will mark the company’s foray into the exploration and production business in Brazil.

The company said it considers the acquisition as a highly attractive opportunity in terms of asset quality and for strategic future growth in the country. The transaction will be closed after receiving relevant regulatory approvals.

In July 2011, OGX announced that it had made a new hydrocarbons discovery in the Santonian and Albian sections of well 1-OGX-52-RJS in the BM-C-41 block of the Campos Basin.

Image: Waimea oil field, Campos Basin, Brazil.