Shell Brasil Commences Oil Production with Mero-4 FPSO in Brazil's Pre-Salt Region
Shell Brasil Commences Oil Production from Mero-4 FPSO
On May 26, 2025, Shell Brasil Petróleo Ltda., a subsidiary of Shell plc, announced the official commencement of production at the floating production storage and offloading facility (FPSO) named Alexandre de Gusmão. This facility, situated in the Mero field within Brazil's Santos Basin, is a key player in the country's growing oil sector, particularly in the pre-salt region.
Mero-4 FPSO Specifications
The Mero-4 project is an impressive engineering feat, designed to be connected to twelve wells. With a production capacity of up to 180,000 barrels of oil per day and the ability to compress 12 million cubic meters of gas daily, the FPSO represents Shell's substantial investment in Brazil's energy market, holding a 19.3% share in this venture. Located approximately 180 kilometers off the coast of Rio de Janeiro, the FPSO operates in waters about 2,000 meters deep, a testament to modern advancements in offshore extraction technology.
Shell's Vision and Commitment
Peter Costello, Shell's Upstream President, showcased the strategic importance of Mero-4, explaining that this project epitomizes the collaborative efforts with partners to maximize the potential of world-class oil reservoirs. He noted, "Mero-4 is the latest example of how we are working with our partners to unlock value from world-class reservoirs, sustaining material liquids production and providing for the world's current energy needs."
As a significant contributor to Shell's portfolio, the Mero-4 project underscores the company's commitment to maintaining long-term assets that yield high flow rates, thus positioning Shell as a leading oil producer in Brazil, second only to Petrobras.
The Mero Field Overview
The Mero field is a standout project within the Libra Production Sharing Contract (PSC), which was inked in December 2013. Shell's approach to the Mero field has been methodical; the FPSO Guanabara (Mero-1), FPSO Sepetiba (Mero-2), and FPSO Marechal Duque de Caxias (Mero-3) were brought online in subsequent years of 2022, 2023, and 2024, respectively. Collectively, these units, along with an Early Production System, amount to an impressive total production capacity of 770,000 barrels of oil per day.
Future Prospects
Looking ahead, the Mero-4 FPSO aligns with Shell's Capital Market Day 2025 commitment, aiming to launch various upstream and integrated gas projects from 2025 to 2030. The goal is a peak production exceeding one million barrels of oil equivalent per day. This ambitious plan reflects Shell's strategic direction and continued investment in Brazil's burgeoning energy sector.
In conclusion, the commencement of production at the Mero-4 FPSO marks a significant milestone, not only for Shell Brasil but for Brazil's oil industry as a whole. With strategic partnerships and a robust operational framework, the project is poised to contribute notably to the economic fabric and energy demands of Brazil and beyond.