Latin America Oil Supply - March 2017

Oil supply from Latin America is predicted to increase by 0.18 mb/d to average 5.30 mb/d in 2017, despite declining in 2016 by 90 tb/d. Oil production in Brazil is expected to increase by 0.26 mb/d, while other countries in the region will see declines.

Brazil’s liquids supply is estimated to average 3.14 mb/d in 2016, an increase of 0.06 mb/d over the previous year. Preliminary crude oil production shows a decrease of 75 tb/d m-o-m in January to average 2.65 mb/d, mainly due to the scheduled stoppage of the P-40 platform at the Marlim Sul field, and to maintenance work on a production well at Parque das Baleias- both fields are in the Campos basin.

Petrobras’s pre-salt oil reached a new high of 1.34 mb/d on 4 January, falling back later to average 1.28 mb/d, while NGL output was steady at 118 tb/d. Biofuels increased by 24 tb/d to 0.55 mb/d. Total Brazilian liquids supply in January declined by 50 tb/d m-o-m to average 3.33 mb/d. Growth of 0.26 mb/d is forecast in Brazil for the year of 2017 to reach an average of 3.40 mb/d. Higher output through new wells in Cidade de Caraguatatuba (over the Lapa field); Cidade de Saquarema, Cidade de Mangaratiba, Cidade de Itagua? (over the Lula field); Cidade de S?o Paulo (over the Sapinho field) and also at the P-58 platform serving Parque das Baleias, is expected to be achieved through connection to different FPSOs in the Santos basin during the coming months of 2017.