BP has announced its largest oil and gas discovery in a quarter-century revealing rich reserves in deep waters off Brazil’s east coast. The British energy firm confirmed the find on Monday and said it could play a key role in scaling up global crude oil production. The discovery was made at the Bumerangue block in the Santos Basin located roughly 250 miles (400 kilometers) offshore. According to BP the discovery site contains a hydrocarbon zone approximately 500 meters thick.
“This is BP’s largest discovery in 25 years,” said Gordon Birrell, BP executive vice president for production and operations. “We’re assessing its full potential and exploring options for developing a new production hub in the area.”
The announcement adds to a string of recent exploration wins for the company, including new energy deposits identified in Egypt and the Gulf of Mexico. The latter is officially referred to as the “Gulf of America” by the current U.S. administration.
The Bumerangue find marks BP’s most significant energy reserve since the Shah Deniz gas field discovery in the Caspian Sea in 1999. BP said the success validates intensified focus on oil and gas exploration.
In February, BP announced it would scale back its renewable energy targets and redirect billions of dollars toward fossil fuel projects. The decision came amid investor concerns over returns from clean energy ventures and underperformance in the renewables sector.
The company’s long-standing “net zero” transition strategy launched in 2020, faced multiple setbacks. BP recorded a $5.7 billion loss during the pandemic and later absorbed a $25 billion hit when it exited its Russian joint ventures following the Ukraine invasion in 2022.
Despite declining oil prices in recent months, BP’s second-quarter results for 2025 exceeded expectations. The firm reported a $2.4 billion cost profit 15 percent lower than the same period in 2024 ,higher than the $1.8 billion forecast.
Analyst Derren Nathan pointed to increased production and aggressive exploration as driving factors. “BP has sharpened its strategy this year. The Brazil discovery reflects a shift back to traditional energy, which is now boosting returns,” he said in a statement.
BP’s stock had faced downward pressure due to slower gains from renewables compared to fossil fuel-heavy competitors. The Bumerangue discovery could help reposition the company among investors and regulators who remain focused on energy security.
BP has not yet detailed a production timeline for the new field, but the company confirmed it is conducting further tests to determine commercial viability.
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