Brazil: Portuguese group Teixeira Duarte invests in oil business

14 March 2008

Lisbon, Portugal, 14 March – Portuguese construction group Teixeira Duarte is to enter the oil business in Barzil, via its stake in EMPA – Serviços de Engenharia, the group said Thursday in a statement issued in Lisbon.

In the statement published on the website of Portuguese market regulator CMVM, EMPA, which is 70 percent owned by Teixeira Duarte, became the owner of a 33.3 percent stake in Alvorada Petróleo, following a capital increase.

Alvorada Petróleo, a company with headquarters in Belo Horizonte, in the state of Minas Gerais, explores three onshore oil wells in Recôncavo
Baiano, and expects to produce 52,000 barrels of oil in 2008.

After signing a deal Wednesday with Brazil’s National Oil, Natural Gas and Biofuel Agency, Alvorada now has 11 blocs, with estimated reserves of 20 million barrels, also located in Recôncavo Baiano.

For the contract Alvorada made a bonus payment of 13.67 million euros and pledged an investment, over two years, of 27.73 million euros to implement an exploration program, in which production is scheduled for 2011. (macauhub)