CNOOC wins bid for oil field in Brazil

CNOOC Limited, China's largest offshore oil and gas producer, announced Tuesday it has jointly won a 35-year production sharing contract to develop a pre-salt oil discovery in Brazil's Libra oil field.

The company gained the bid as part of a consortium comprising Petrobras, Shell, Total SA and CNPC, according to a statement on its website.

The company holds a 10 percent stake in the winning consortium, with the operator Petrobras having a 40-percent stake, followed by Shell and Total with 20 percent each, and CNPC (China National Petroleum Corporation) with 10 percent, the statement said.

CNOOC Limited will pay 1.5 billion Brazilian reais (around 700 million U.S. dollars) for its 10 percent share, the statement said.

The Libra field is located in the Santos Basin, about 170 km off the coast of Rio de Janeiro, Brazil. The oil field has recoverable resources of between 8 to 12 billion barrels of oil and total gross peak oil production could reach 1.4 million barrels per day, the statement said.