Brazil Development Farm-in Announced

Enterprise Oil PLC
26 November 1999




Enterprise and Odebrecht announce Brazil development farm-in

Enterprise Oil and Brazilian partner Odebrecht announced today agreement has
been reached on commercial terms with Petrobras to farm-in to the Bijupira and
Salema fields offshore Brazil. 

Under the terms of the agreement, which is to be concluded and submitted to
Petrobras and the Brazilian Petroleum agency (ANP) for approval, Enterprise
will act as operator with a 55 per cent interest. The remaining equity will be
held by Odebrecht with 25 per cent and Petrobras with 20 per cent. 

The fields are located in water depths of between 450 and 800 metres in the
Campos Basin, where Enterprise already holds a 15 per cent interest in the
BC-2 block. Odebrecht have a 2.25 per cent interest in Frade/BC-4, and an 8
per cent interest in both the BC-8 and BS-2 blocks. 

Pierre Jungels, Chief Executive commented: 'This is an important milestone for
Enterprise in Brazil which has been achieved as a result of both our
relationship with Odebrecht and Petrobras and our ability to react quickly to
such opportunities. Bijupira-Salema will represent our first operated
development activity in Brazil and we will work towards gaining project
sanction around the middle of next year.

This opportunity will allow Enterprise to utilise its experience with FPSO
developments and establishes the company as a significant new entrant in the
de-regulated Brazilian oil industry. It forms an integral part of our
long-term strategy to build a material business in the country. We look
forward to working closely with Odebrecht and Petrobras on this project.'

Roberto Ramos, Chairman of Odebrecht Oil and Gas commented: 'After two years
of working to progress the Bijupira-Salema development we are delighted that
we have an agreement to move forward in partnership with Enterprise and
Petrobras which will capitalise on the skills and capabilities of all
parties.'



For further information contact:

For Enterprise Oil
Patrick d'Ancona, Head of Public Relations                       0171 925 4160
Peter Reilly, Head of Investor Relations                         0171 925 4229

www.entoil.com

For Odebrecht Oil and Gas
Jim Law, Director                                                0181 401 5100
David Duncan, Director - Exploration and Production          00 55 21 536 3400


Notes to Editors:

The Bijupira and Salema fields are located in the Campos Basin 100 kilometres
offshore Rio de Janeiro State, and 50 kilometres away from the BC-2 block in
which Enterprise has a 15 per cent interest. 

Both Bijupira and Salema were discovered by Petrobras in 1990 and are
estimated to contain combined remaining reserves of 150 million barrels of oil
equivalent. Both fields have been extensively delineated. A total of 11 wells
have been drilled to date and the field area has 3D seismic coverage. An early
pilot production programme of three wells was operated on the fields between
1994 and 1998, and produced 24 million barrels of oil equivalent during that
period.

It is expected that this will be the first of the Petrobras partnered projects
to achieve production from the Campos Basin since the Brazilian state oil
company announced its new strategic plan of producing 1.85 million barrels of
oil per day by 2005. Petrobras is currently the world leader in deep water
operations.

The Campos Basin is a proven hydrocarbon province and has seen much
exploration success in recent years. Proven and probable reserves are
estimated at 12 billion barrels, and average daily production is one million
barrels of oil equivalent.