Petrobras (PBR)

Another oil-bearing well discovered in the Santos Basin’s Pre-Salt layer

(Rio de Janeiro, December 20, 2007). – PETRÓLEO BRASILEIRO S/A - PETROBRAS, [Bovespa: PETR3/PETR4, NYSE: PBR/PBRA, Latibex: XPBR/XPBRA, BCBA: APBR/APBRA], a Brazilian international energy company, announces that the Consortium formed by Petrobras (80% - Operator) and Galp Energia (20%) to explore block BM-S-21, in deep Santos Basin waters, via well 1-BRSA-526-SPS (1-SPS-51), has proven there is a light oil field in the pre-salt layer in the Santos Basin. The pioneer well is located 280 km off the coast of the State of São Paulo (view the figure below), 2,234 meters below sea surface. The well’s depth is 5,350 m.

The discovery, communicated to the NPA pursuant to the legislation in effect, was proved through signs of oil and via profile interpretation, in reservoirs nestled at a depth of nearly 5,000 meters. The well has not been tested yet due to operating and logistics reasons.

The Consortium will undertake the necessary activities and make the required investments to check the field’s dimensions and verify the oil reservoir’s characteristics. Furthermore, it is elaborating the Discovery Evaluation Plan it will send to the NPA, as provided for in the Concession Agreement.

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