Reuters reported that Brazil's state controlled oil company Petrobras said it had discovered signs of oil in an offshore bloc it is exploring jointly with Brazilian iron ore miner Vale.

The discovery was made in an area where the sea water depth is 2,153 meters, in the ES-M-527 region contained within the BM-ES-22 bloc, off the coast of Espirito Santo state that neighbors Rio de Janeiro.

Vale, the country's largest single consumer of energy, bought a 25% stake in the bloc from Petrobras a year ago. Vale also has a 10% stake in a neighboring bloc, BM-ES-21, which is operated by Petrobras.

(Sourced from af.reuters.com)