Petrobras is preparing to sell its first natural gas production at its deepwater oil field, Lula, in the prolific Santos Basin region, the company's production director Guilherme Estrella revealed.

Speaking in a seminar hosted by Brazil's National Development Bank, Estrella disclosed that a pipeline connecting the Lula pre-salt oil field to the nearby Mexilhao platform is "being pressurized." The field is currently under regulatory restrictions in terms of the the amount of natural gas flared or burned off. However, the pipeline will now enable Petrobras to ramp up production at the field, which is the first of many discoveries in the region.

"We expect that by next week, the first natural gas from Lula will be sold into the market by our Gas and Energy department," Estrella said.

Lula is currently producing about 30,000 barrels of oil per day as part of a pilot production project.

Tags: Petrobras