RIO DE JANEIRO Dec 30 Brazilian tycoon Eike
Batista's Oleo e Gas Participacoes SA risks losing its 40
percent stake in the Atlanta and Oliva fields in Brazil's Santos
Basin for failure to pay its share of development costs, its
partner, QGEP Participações SA, said on Monday.
Oleo e Gas, formerly known as OGX Petroleo e Gas
Participacoes SA, has been ordered to show its financial
obligations in the fields, part of the BS-4 offshore concession,
are up to date, according to a note from Brazil's oil regulator
ANP, dated Dec. 23, QGEP said in a securities filing.
Oleo e Gas, which filed Latin America's largest-ever
bankruptcy protection petition on Oct. 30, owes partners QGEP
and Barra Energia do Brasil Petróleo e Gas 73 million reais
QGEP and Barra each own 30 percent of the fields south of
Rio de Janeiro. The first horizontal production well in Atlanta
is due to begin output in January, QGEP said.
Failure to meet financial commitments related to oil
exploration and production concessions can result in the loss of
those concessions under Brazilian law.
ANP General Director Magda Chambriard said earlier this year
that Oleo e Gas' bankruptcy would not automatically result in a
loss of oil production rights as long as the company met its
obligations under the concessions.
Oleo e Gas and ANP officials were not immediately available
Oleo e Gas' shares rose 4.4 percent to 0.24 real in Sao
Paulo trading early on Monday.