BPCL's Brazilian oil block makes a discovery

State-owned Bharat Petroleum today said that its oil block in the Brazil offshore, discovered hydrocarbons.

"The block SEAL-M-426 witnessed the first ultra deep water drilling, and identified hydrocarbon presence. The well is still under drilling and likely to meet older reserves before termination," BPCL said in statement to the stock exchanges.

The data obtained so far is enough to prove the discovery of a new oil province in the Sergipe Alagoas basin, the company said. Log data indicate the presence of light hydrocarbons in the well. The drilling of older sediments by the well, could show presence of more hydrocarbons in deeper sections.

BPCL owns 40 per cent participating interest in the block, while Brazilian state owned oil major Petrobras owns 60 per cent, and is also the operator of the block.