Karoon Energy faces a temporary production reduction at the Baúna offshore field in Brazil after detecting an electrical failure in the SPS-92 well system. The incident will require the company to carry out an intervention to replace the affected cabling and restore full well capacity.
The problem was identified in the SPS-92 monitoring system. In response, Karoon performed a controlled shut-in of the well on September 22, 2026, to protect pump integrity and assess the source of the anomaly.
After several analyses and tests, the company confirmed a failure in one of the three electrical phases of the new power cable connected to the electric submersible pump (ESP) installed at the bottom of the well.
Karoon Energy prepares intervention at well SPS-92
Currently, the pump operates on two electrical phases under conservative conditions to maintain safe operation. However, this configuration does not allow full well capacity to be recovered.
For this reason, Karoon Energy will need to execute an intervention using a drilling rig to replace the defective cabling system.
The company holds an active option on a suitable rig and has already begun planning the work. The process includes obtaining permits and contracting the equipment and services necessary to perform the intervention.
However, the execution date will depend on regulatory approvals and the availability of required services.
Baúna production falls due to SPS-92 well failure
While the intervention is being prepared, Karoon estimates that approximately 3,500 barrels of oil equivalent per day will remain deferred until the cabling system is replaced.
For now, the company does not expect this temporary reduction to affect reserves at the Baúna field. Before the failure occurred, SPS-92 was operating in line with company expectations.
Karoon continues investigating the root cause of the problem and is analyzing possible recoveries through equipment warranties and insurance.
The company considers, based on its preliminary assessment, that its insurance coverage could partially offset the loss of revenue associated with deferred production. It could also cover a significant portion of the costs related to the intervention and repair, subject to applicable terms.
Karoon Energy cuts 2026 production forecast
As a result of lower SPS-92 production, Karoon revised its annual forecast for the Baúna project. The new estimate stands between 5.4 and 5.7 million barrels in 2026, compared to the previous range of 6.0 to 6.7 million.
The company maintains its forecasts for Who Dat unchanged. Accordingly, it expects its total 2026 production to reach between 6.6 and 7.2 million barrels of oil equivalent.
Karoon’s immediate objective will be to complete intervention planning and return SPS-92 to full production. Meanwhile, the operator will seek to maximize production from Baúna’s other wells.
Source: Karoon Energy
Photo: Shutterstock
