Energy giant BP has announced its biggest oil and gas field discovery in 25 years after a drilling off the coast of Brazil.
The company’s vice president for oil production, Gordon Birrell, said it was a “significant discovery” and the largest since 1999, when a giant gasfield in the Caspian Sea was discovered. It is expected to contain a mix of gas and oil as well as condensate, which is a liquid form of natural gas.
The size of the field in the Bumerangue prospect is more than 300 square kilometres – about three times the size of central Paris.
The discovery comes days after US president Donald Trump told the UK to explore the North Sea oil reserves for further extraction, claiming it a better source of energy and a “treasure chest” for the UK. Keir Starmer responded that oil and gas would “be part of the mix” amid an increasing use of renewable energies. Rachel Reeves added that it is not an “either-or” scenario.
It is not clear how much might be extricated from the Brazil site by BP, due to elevated carbon dioxide levels which can complicate gas and oil extraction, as well as increase costs. Additional tests will be carried out to work out how much may be extricated.
The company said it holds “very good commercial terms” on the region after they won 100 per cent of the rights to the field in 2022 as the only bidder.
BP are also set to move forward with plans to open a “big production hub” in Brazil, Reuters reported.
“We are excited to announce this significant discovery at Bumerangue, bp’s largest in 25 years,” Mr Birrell said. “This is another success in what has been an exceptional year so far for our exploration team, underscoring our commitment to growing our upstream.
“Brazil is an important country for BP, and our ambition is to explore the potential of establishing a material and advantaged production hub in the country.”
Bumerangue is BP’s tenth field discovery in 2025, with others mostly in Africa and South America.
The large discovery will be seen as a big win for the energy firm, which has endured a largely difficult few years.
A pivot towards sustainable fuels was not well-received by all investors, resulting in an about-face and the removal of Bernard Looney as CEO, with Murray Auchincloss taking over. Earlier this year the company said it would further scale back renewable efforts and cancelled an earlier pledge to not explore further for gas and oil outside existing projects.
Meanwhile, chairman Helge Lund will be stepping down from his position with Albert Manifold set to replace him in October, in what BP hope will mark a reset moment following Lund’s involvement in the abandoned renewables focus.
BP’s share price rose just over 1 per cent on Monday morning after news of the new discovery, but remains almost 10 per cent down over the past year.
In June it was reported to be the subject of a takeover bid by British rival Shell, which was rejected by the larger firm.
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