Oil find could bring $$$ for BP and $ for Brazil but what will it cost the planet?
BP has announced its largest oil and natural gas discovery in over two decades off the coast of Brazil.
The British energy company described the Bumerangue find as a major development that could enhance its fossil fuel portfolio and support its shift away from renewable energy investments.
According to BP, the Bumerangue discovery is likely the company’s most significant since the Shah Deniz gas and condensate field, which was identified in 1999 in the Azeri sector of the Caspian Sea.
This discovery supports BP’s strategy to refocus on oil and gas. The company has increased its annual spending on fossil fuels to $10 billion, while reducing its planned investments in renewable energy. It has lowered its projected annual investment in energy transition businesses from earlier forecasts to between $1.5 billion and $2 billion.
BP forecasts its oil and gas production to range between 2.3 million and 2.5 million barrels of oil equivalent per day by 2030. The company produced 2.4 million barrels of oil equivalent in 2024 but expects a decline in output for 2025.
The Bumerangue block is located in Brazil’s Santos basin in deepwater pre-salt formations. BP acquired the block in December 2022 under what it described as “very good commercial terms.”
The Brazil find is BP’s tenth discovery of the year, with other recent discoveries made in Trinidad, Egypt, and other parts of Brazil.
BP had previously set an ambitious carbon-reduction target in 2020, positioning itself as a leader in the industry. However, the company has since scaled back its renewable energy plans as part of its revised strategic direction.
This story is written and edited by the Global South World team, you can contact us here.
