under the 5th Cycle of the Open Acreage of Concession (OPC).

According to a Bloomberg report, Brazil’s Ministry of Mines and Energy believes the Foz do Amazonas basin, one of the deepwater regions on offer, could contain oil fields similar to those discovered offshore Guyana and Suriname, where ExxonMobil and other international firms have discovered billions of barrels in recent years.

This geological similarity has made the area one of the most highly anticipated among bidders.

Bloomberg reported that the Foz do Amazonas and Potiguar basins fall within Brazil’s Equatorial Margin, a frontier zone near the equator considered by industry analysts to hold some of the country’s most promising unexplored reserves. Of the 172 blocks, 47 are located in the Foz do Amazonas region.

In addition to the offshore blocks, areas will also be auctioned in the Pelotas, Santos, and Parecis basins—covering both offshore and the lone onshore option in this round.

A total of 31 companies have registered for the auction and are eligible to submit bids. These include major international oil firms such as ExxonMobil, Chevron, Shell, BP, Equinor, TotalEnergies, CNOOC, and Sinopec, as well as Brazil’s state-run Petrobras and several other regional players.

While the Foz do Amazonas region remains a focal point, Bloomberg also reported that environmental concerns have added a layer of uncertainty to the auction, particularly for areas where drilling approvals remain pending or have previously been blocked.

In Guyana, oil is being produced from the Stabroek Block. That Block is operated by American oil giant, ExxonMobil Guyana Limited, which holds a 45% interest and a third partner, CNOOC, which holds 25% interest.

The Stabroek Block, located about 120 miles offshore Guyana, spans 6.6 million acres and is estimated to hold 11.6 billion barrels of oil. Production began in December 2019, following a discovery in 2015. (Kaieteur News)