The Rising Influence of Rising Affluence

[DewDiligence]

Shell makes a big move in Brazil:

http://finance.yahoo.com/news/shell-announces-successful-bid-giant-190300079.html

A consortium of companies, including Royal Dutch Shell plc, Petrobras, Total, CNPC and CNOOC, won today a 35-year production sharing contract to develop the giant Libra pre-salt oil discovery located in the Santos Basin, offshore Brazil. The Brazilian regulator, Agencia Nacional do Petroleo (ANP), estimates Libra's recoverable resources of between 8 to 12 billion barrels of oil.

…Shell holds 20% in the consortium, with Petrobras 40% as operator, Total 20%, CNPC 10% and CNOOC 10%.

…The production sharing contract is expected to be signed in November 2013. As part of the winning bid, Shell will pay its 20-percent share of the total signing bonus of USD $1.4 billion…

The ultra-deep water Libra accumulation is located in Santos Basin, approximately 170 kilometers (105 miles) off the coast of Rio de Janeiro.