PanAtlantic holds deepwater exploration assets in Brazil, West Africa and the Black Sea. Vanco Brasil Exploração e Produção de Petróleo e Gás Natural Ltda., a wholly owned subsidiary of PanAtlantic Energy Group, announce that the Company has commenced drilling operations, using the GSF Arctic I semi-submersible drilling unit, for its three-well drilling campaign on blocks BM-S-72 (SM-1100), BM-S-63 (SM-1036), and BM-S-71 (SM-1035), in the Santos Basin, offshore Brazil. PanAtlantic, through its Brazilian subsidiary Vanco Brasil Exploração e Produção de Petróleo e Gás Natural Ltda., holds a 70% participating interest in the concessions, together with Panoro Energy do Brasil Ltda. 15% and Brasoil Round 9 Exploração Petrolífera Ltda. 15%.