Shell invests in the Gato do Mato project in Brazil’s pre-salt

Shell Brasil Petróleo Ltda. (Shell Brasil), a subsidiary of Shell plc, has announced the Final Investment Decision (FID) for the Gato do Mato project—a deepwater oil and gas field in the Santos Basin, offshore Brazil. This marks another step in the company’s strategy to strengthen its presence in Brazil’s energy sector.

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24 march 2025   |   11:02   |   Source: Gazeta Morska   |   Prepared by: Kamil Kusier   |   Print

fot. Shell Brasil Petroleo Ltda.

Investment in the future of production

The consortium responsible for the project consists of Shell (operator, 50% stake), Ecopetrol (30%), TotalEnergies (20%), and Pré-Sal Petróleo S.A. (PPSA), which manages the production-sharing contract (PSC). The development plan includes the installation of a floating production storage and offloading (FPSO) vessel, with a planned production capacity of up to 120,000 barrels of oil per day. Estimated recoverable reserves for the Gato do Mato field amount to approximately 370 million barrels.

- Gato do Mato is a key investment in our efficient project portfolio, said Zoë Yujnovich, Shell’s Integrated Gas and Upstream Director. - This will enable us to maintain a stable production level in Brazil and strengthen our position as the largest foreign oil producer in the country.

Project details

The Gato do Mato field comprises two adjacent blocks: BM-S-54, awarded in 2005, and Sul de Gato do Mato, which became part of a production-sharing agreement in 2017. The oil field is located at a water depth ranging from 1,750 to 2,050 meters, offshore from Rio de Janeiro.

The initial phase of development will involve reinjecting natural gas to maintain reservoir pressure, with the option of exporting gas to onshore facilities in the future. Reserve estimates are classified under the Petroleum Resources Classification System developed by the Society of Petroleum Engineers (SPE) as P50—indicating a 50% probability that actual reserves will be either higher or lower than the given estimate.

Economic Significance of the Investment

Shell emphasizes that the Gato do Mato project is expected to generate an attractive internal rate of return (IRR), exceeding the company’s Upstream sector requirements. Production is scheduled to commence in 2029.

Gato do Mato is another strategic investment by Shell in Brazil’s pre-salt resources, aimed at strengthening oil and gas production stability and supporting the long-term growth of the regional energy sector.

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