Troubled Brazilian state oil giant Petrobras and the Spanish-Chinese partnership Repsol Sinopec have decided to walk away from an offshore oil and gas prospect that they have deemed unviable, according to Reuters.
Both parties have surrendered their exploration rights to the Piracuca concession located in the Santos basin about 125 miles off of Sao Paulo state at a depth of 656 feet.
Petrobras, the world’s most indebted oil company, held a 63% stake in Piracuca and was the operator appraising its potential, while Repsol Sinopec had the other 37% stake.
Brazilian authorities had awarded the concession in 2000.
