Shell Brasil has made the Final Investment Decision (FID) on the Gato do Mato deep-water project in Brazil’s Santos Basin. The project, located offshore Rio de Janeiro state in the pre-salt area, is expected to significantly boost production with a floating production storage and offloading (FPSO) vessel capable of handling up to 120,000 barrels of oil per day. With an estimated 370 million barrels of recoverable resources, the venture underscores company’s commitment to maintaining stable liquids production from its upstream portfolio.
The Gato do Mato Consortium consists of Shell as the operator with a 50% stake, alongside Ecopetrol (30%) and TotalEnergies (20%), with Pré-Sal Petróleo S.A. (PPSA) managing the production sharing contract. Initial operations will involve reinjecting natural gas to maintain reservoir pressure, with potential future options for gas export. “Gato do Mato is an example of our ongoing investment in increasingly efficient projects,” said Zoë Yujnovich, Shell’s Integrated Gas and upstream director, in a company’s press release. “The project contributes to maintaining stable liquids production from our advantaged upstream business, and expands our leadership as the largest foreign producer in Brazil as we continue working to provide for the world’s energy needs well into the future.”
Operations for Gato do Mato are expected to commence in 2029, further strengthening Shell’s footprint in Brazil’s offshore sector. The project spans two contiguous blocks — BM-S-54, acquired in 2005, and Sul de Gato do Mato, obtained in 2017. Situated in water depths between 1,750 and 2,050 meters, the development is poised to generate an internal rate of return exceeding Shell’s Upstream business threshold. This investment highlights Brazil’s growing prominence in the global energy landscape and reinforces Shell’s long-term strategy in deep-water exploration and production.
