Statoil said that the deal will allow the company to inter into a new country.
Located in the Pelotas basin of the South Atlantic Ocean, approximately 200km off the coast of Uruguay, the Block 14 covers an area of 6,690km2 in water depths of 1,850 to 3,500m.
Upon completion of the transaction, which is subject to governmental approval, Total will operate the block with 50% interest.
Additional partners include ExxonMobil Exploration and Production Uruguay with 35% stake and Statoil with 15% interest.
Statoil exploration senior vice-president Nicholas Alan Maden said: "With this transaction, we are positioning ourselves in yet another underexplored basin with upside potential.
"This is in line with our exploration strategy of early access at scale, and strengthens Statoil’s long-term international portfolio."
An extensive data collection program, including acquiring new 3D seismic data has already been completed for the block, which was awarded to Total in 2012.
The partners are planning to commence drilling at the Raya prospect using Maersk Venturer drillship during the first half of 2016.
Maden added: "It is exciting that we are able to test this opportunity so quickly, to explore a new geological concept in this frontier deep-water area."
Image: Statoil exploration senior vice-president Nicholas Alan Maden. Photo: courtesy of Statoil.
