Brasil Round 4 Parnaíba Basin



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Brasil Round 4 Parnaíba Basin Adhemar Massao Fugita Block Definition Superintendency

Location Map Belém São Luis Fortaleza BT-PN-1 Teresina Total Area = 600,000km 2 Parnaíba Basin Palmas 0 100 200 300 400 500 km

GENERALITIES Start of Exploration in the 50s with the National Petroleum Council - surface mapping -1 well drilled in Maranhão State To date there have been drilled: 31 Exploration wells Wildcats - 21 (1 under a Risk Contract) Stratigraphic wells - 10

Number of Exploration Wells Drilled by Year Blue = Wildcat wells Yellow = Stratigraphic Wells

Exploration History Quantitative 2D Seismic: 8,668 km Exploration wells: 31 Indicative 1km 2D/70 Km 2 1 well /19,350 km 2

Seismic Lines and Wells Distribution Map Petrobras

Structural Framework Petrobras

Magnetometric Map Petrobras

Geological Section

STRATIGRAPHY 7 Sequences: - Cretaceous - Urucuia, Areado, Itapecuru, Codó, Grajaú, Sardinha Fms - Jurssic - Corda, Pastos Bons, Mosquito Fms - Triassic to late Carboniferous - Sambaíba, Motuca, Pedra de Fogo and Piauí Fms - early Carboniferous/Devonian - Poti, Longá, Cabeças, Pimenteiras, Itaim Fms - Silurian - Jaicós, Tianguá and Ipu Fm - Ordovician/Cambrian Mirador Fm - late Proterozoic- Riachão Fm

Stratigraphic Column Petrobras

Geological Section

Geological Map Modified from DNPM

PETROLEUM SYSTEM Source rocks - principal = Pimenteiras Fm (Devonian-Frasnian) TOC - average 2-2.5% peak 6% Type II and III - secondary = Tianguá Fm (Silurian) and Longá Fm (Devonian-Famenian) NOTE: The Codó Fm has TOC levels up to 23%, but is immature

PETROLEUM SYSTEM Source and seal isopach map Pimenteiras Fm

PETROLEUM SYSTEM Radioactive shale isolith map Richest source rock - Pimenteiras Fm DPC&Assoc

PETROLEUM SYSTEM Reservoirs Parnaíba Basin Principal Devonian sands of the Cabeças Fm Secondary- Devonian sands of the Itaim Fm, Carboniferous Piaui Fm, Silurian Ipu Fm Other possibilities fractured diabases

Cabeças Fm sand isolith Della Fávera,1999

PETROLEUM SYSTEM Parnaíba Basin Seals - shales of the Longá Fm for reservoirs of the Cabeças Fm - shales of the Pimenteiras Fm for sands of the Itaim Fm - shales of the Tianguá Fm for coarse clastics of the Ipu Fm - shales and anhydrites of the Pedra de Fogo Fm for reservoirs of the Piauí Fm Diabase intrusives at various stratigraphic levels could seal different reservoirs

PETROLEUM SYSTEM Anhydrite(Permian) Isolith Map Possible seal for the Piauí Fm

PETROLEUM SYSTEM Traps Conventional structural Parnaíba Basin Associated with normal and reverse faults Related to igneous intrusives Non-conventional Basin-centered

PETROLEUM SYSTEM Generation Assured by the thermal effect of the igneous basics within the source rock section.generation must have taken place at the start of the Jurassic Migration -Across faults -Along diabase dykes -By direct contact between source rock and reservoir -Long distance through carrier beds and faults

PETROLEUM BASIN Isolith Map Igneous Basic Rocks(diabase and basalts) Maturation by the thermal effect of the intrusives

Maturation effect of the diabase intrusives on the Pimenteiras Fm DPC&Assoc.

Pimenteiras Fm Orange area %Ro 0.6-1.35 Red area %Ro +1.35 DPC&Assoc.

Petroleum System Event Chart Pimenteiras-Cabeças DPC&Assoc.

Block Area 12,261 km2 BT-PN-1 Migrated 2D seismic 898 km Wells drilled 2 Well 2-CP-1-MA highlight (Capinzal)

Block BT-PN-1

Block BT-PN-1 Available 2D seismic map

Block BT-PN-1 Available well map

Minimum exploration program - BT-PN-1 Exploration Period MINIMUM PROGRAM - BT-PN-1 Duration (years) 1st 4 2nd 3 3rd 2 Area Relinquishments 50 % of the original area 25 % of the original areal 25 % of the original area Work Program/ Investiments 750 km 2D seismic 1 Well 2 Wells Financial Guarantee 1st Period = USD 5,000,000

MAIN ATTRACTION FOR THE BLOCK Possibility of HC accumulations occurrence based upon the probable discovery of a gas field drilled by well 2-CP-1-MA(Capinzal) Associated with the presence of geological factors very favourable to HC accumulations. 32

2-CP-1-MA(Capinzal) Seal = diabase 1,492m-1,666m Cabeças Fm 1,666m Pimenteiras Fm 2,006m Diabase 2,050m-2,257m Itaim Fm 2,476m Gas test, 1m-4m flame, from the intervals 2234-2252m- diabase 2219-2252m- Pimenteiras Fm/diabase 2472-2490m- Itaim Fm (isotopic analysis of the gas indicates a maturation level of 2% Ro) Log interpretation indicates a possible untested gas zone in the Cabeças Fm

PARNAÍBA BASIN 2-CP-1-MA SEP ELAN 1670 GAS NET PAY 11 M PROBABLE PERMEABILITY BARRIER AT 1681 M 1690 WATER ZONE 1995 /1999M 34

PARNAÍBA BASIN 2-CP-1-MA SEP ELAN CORRELATION BETWEEN ACQUIRED CURVES VERSUS RECONSTRUCTED CURVES DIABASE DENSITY NEUTRON SONIC RESISTIVITY AND GAMA RAY SANDSTONES 35

PARNAÍBA BASIN SEP 2-CP-1-MA M - N PLOT SANDSTONE W/ GÁS 36

PARNAÍBA BASIN SEP 2-CP-1-MA PLOT In red= gas effect PHID - PHIN EFEITO DE GÁS 37

ACCUMULATION (?) OF GAS IN 2-CP-1-MA COULD BE: - A conventional or discrete type of anticlinal structure with Cabeças Fm reservoir, sealed by diabase and a defined gas/water contact - A non-conventional, continuous, basin-centered accumulation in sweet spots NOTE- this type of accumulation is responsible for 10%-15% of the total gas production in the USA

Conventional vs basin-centered Surdam et al.1997

Conventional vs basin-centered Surdam et al1997

Bacia do Parnaíba 2-CP-1-MA 59-RL-64 40

Bacia do Parnaíba 2-CP-1-MA 41

42

Basin-Centered type accumulations TIPO DIRETO TIPO INDIRETO Source Rock gas-prone oil-prone Pressure mechanism HC generation Oil cracking Abnormal pressure high/low generally low Seal relative K / capillary P lithological Top of accumulations generally Ro > 0,7% Ro > 1,3-1,4 Top of accumulations cross estratigrphic boundaries follow boundaries Migration short distance short distance Ben Law (2001) 43

BASEMENT OR PRE-SILURIAN STRUCTURAL CONTOURS BASED ON WELL DATA

PARNAÍBA BASIN Wattenberg Field Most prolific in the Denver-Julesburg Basin Discovered in 1970 produced more than 2.2MMBO and 600BCFG Basin-centered type of accumulation Petroleum Development Corporation, 2000

PARNAÍBA BASIN Jonah Field - Centered-basin Accumulation Green River Basin Poros 8-12% k= 3-20 microd Current Production +100MMCFGD gas column 2.500 pés Fracturing needed 46

Distribution of silurian accumulations Appalachian Basin Basin-Centered to Hybrid to Conventional USGS-Ryder R.T.98 47

Graph of Typical Gas Production Tight gas sand with adequate fracturing Green River Basin Drilling and completion costs can be recovered in 2 years Wells can produce for 20-50 years.

ATTENTION If the 2-CP-1-MA accumulation is a basin-centered type one, the reserves calculations can not be done according to the traditional method applied to conventional accumulations The geometry of the accumulation, in special, can be quite different. 49

NOMINATIONS FOR FUTURE ROUNDS ASTROBLEMES EAST FLANK SOUTH FLANK

Riachão Ring Astrobleme S 07º43 W 46º39 diametre 4.5 km

Riachão Ring Astrobleme

Serra da Cangalha Astrobleme S 08º05 W 46º51 diameter 14 km

Astrobleme Types Meteor Crater (Donofrio R.R.1981) Cannon P.J.2000

Astrobleme producing field Red Wing Creek Field Donofrio R.R.1981

Astrobleme producing field Viewfield Field DonofrioR.R.1981

The attraction of the Parnaíba Basin East Flank Transbrazilian Lineament and associated structures Shallow fields at the basin margin Immature source rock (biogenic gas)

Geological Section

Map modified from DNPM) Attraction of the South Flank Surface structural inversion Possibility to test the São Francisco Basin (proterozoic)

Seven Cities National Park - Piauí Cabeças Fm outcrop

PARNAÍBA BASIN

PARNAÍBA BASIN SEVEN CITIES - TURTLE

PARNAÍBA BASIN SEVEN CITIES FINGER OF GOD

SEVEN CITIES Channel

PARNAÍBA BASIN SEVEN CITIES Rock Art

SERRA DA CAPIVARA NATIONAL PARK SERRA GRANDE GROUP OUTCROP

Serra da Capivara - Piauí Serra Grande Group

Serra da Capivara National Park Piauí

Serra da Capivara Piauí RockArt

Serra da Capivara-Piauí Rock Art

SERRA DA CAPIVARA Rock Art

SERRA DAS CONFUSÕES NATIONAL PARK

Bacia do Parnaíba SERRA DAS CONFUSÕES LITTLE ANDES

SERRA DAS CONFUSÕES

Bacia do Parnaíba SERRA DAS CONFUSÕES PEDRA DO GUARDIÃO

SERRA DAS CONFUSÕES

Thank you for your attention