The Return Of Deepwater Oil

In a historic auction for deepwater oil assets in Brazil, the
oil majors showed up on October 27 and bought several offshore
blocks, indicating a high level of interest in the country after a
major policy overhaul allowed private investment. Royal Dutch Shell
won half of the blocks that were offered, and Shell was already one
of Brazil’s largest foreign investors. After purchasing BG Group
for around $50 billion, Shell took a large presence in Brazil. The
logic behind Shell’s strategy is that the company argues it can
breakeven with…

In a historic auction for deepwater oil assets in Brazil, the
oil majors showed up on October 27 and bought several offshore
blocks, indicating a high level of interest in the country after a
major policy overhaul allowed private investment. Royal Dutch Shell
won half of the blocks that were offered, and Shell was already one
of Brazil’s largest foreign investors. After purchasing BG Group
for around $50 billion, Shell took a large presence in Brazil. The
logic behind Shell’s strategy is that the company argues it can
breakeven with…