BP Discovers Largest Oil Field in 25 Years Off Brazilian Coast

BP has announced its largest oil and gas field discovery in 25 years, boosting its energy production and refocusing on fossil fuels. The Bumerangue field in Brazil is larger than the metropolitan borough of Birmingham and is BP's tenth discovery this year. Shares rose 1.8% as the company attempts to reverse its pivot to green energy and close the gap with rivals Shell, Exxon Mobil, and Chevron.

BP has made a significant discovery off the coast of Brazil, marking its largest oil and gas find in 25 years. The Bumerangue field, located in the Santos Basin, is larger than the metropolitan borough of Birmingham and is BP's tenth discovery this year. This discovery is set to play a substantial role in the company's efforts to increase daily oil and gas production by up to 2.5 million barrels.

The announcement comes as BP prepares to report its second-quarter earnings, amid pressure to cut costs and show progress on its turnaround plan. The company's strategy to refocus on fossil fuels and shift away from renewables has been met with mixed reactions, but this discovery could bolster its financial performance and investor confidence.

BP's stock reacted positively to the news, rising 1.8% following the announcement. This increase comes as BP aims to reverse its pivot to green energy and close the gap with rivals Shell, Exxon Mobil, and Chevron. The company's focus on operational efficiency and strategic project developments has led to a robust financial performance in the second quarter of 2025, with underlying net income of $2.4 billion and operating cash flow of $6.3 billion.

The Bumerangue field is estimated to contain a high-quality, pre-salt carbonate reservoir with an aerial extent of greater than 300 square kilometers. BP plans to conduct further laboratory analysis and appraisal activities subject to regulatory approval. This discovery is expected to contribute significantly to BP's upstream production growth and support its financial targets.

BP's Q2 2025 earnings call highlighted the company's strategic initiatives and operational improvements, leading to positive investor sentiment and stock appreciation. The company's focus on efficiency and growth positions it well for future challenges and opportunities.

References:
[1] https://www.semafor.com/article/08/04/2025/bp-announces-largest-oil-gas-find-in-25-years
[2] https://www.investing.com/news/transcripts/earnings-call-transcript-bps-q2-2025-sees-strong-performance-and-stock-uptick-93CH-4169268