Shell Sells 20% Stake in Brazil’s Orca Deepwater Project to Kuwaiti Firm
February 3, 2026
Shell Brasil Petróleo, a subsidiary of Shell, has agreed to sell a 20% interest in the Orca deepwater project offshore Brazil to Kuwait Foreign Petroleum Exploration Company (KUFPEC).
Orca, formerly known as Gato do Mator, is a deepwater development located in the pre-salt area of the Santos Basin. Following completion of the transaction, Shell will remain operator of the project, retaining a 50% interest.
The transaction is subject to regulatory approval, the exercise of pre-emptive rights and customary closing conditions, with completion expected by the end of 2026.
The Orca Project is a unitized development encompassing the BM-S-54 concession contract and the South Orca production sharing contract. Prior to the transaction, the project was held by Shell with a 70% interest, Ecopetrol with 30%, and Pré-Sal Petróleo S.A. (PPSA), acting as manager of the production sharing contract.
Upon completion of the deal, the ownership structure will be Shell as operator with 50%, Ecopetrol with 30% and KUFPEC with 20%.
The Orca partners took final investment decision on the project in March 2025.
“We are pleased to welcome KUFPEC as a partner in Orca, a project that is essential to sustaining liquids production in our Upstream portfolio.
“With this step, we expect to build on the strong results of our collaboration with KUFPEC in Egypt. This move further deepens our long-term commitment and strategic partnership in Kuwait, in line with the strong collaboration we maintain with Kuwait Petroleum Corporation,” said Peter Costello, Shell’s President of Upstream.
The development plan for Orca includes the installation of a floating production storage and offloading (FPSO) vessel and is designed to produce up to 120,000 barrels of oil per day. The FPSO will be delivered by MODEC, under the Front-End Engineering and Design (FEED) contract signed with Shell in April 2024.
