Rio de Janeiro, March 29, 2018 - Petróleo Brasileiro S.A. – Petrobras reports that it has acquired 7 offshore blocks in the 15th Round of Bids under the Concession Regime, held today by the National Agency of Petroleum, Natural Gas and Biofuels (ANP). The company is advancing its partnership strategy and will be the operator in 5 blocks.
The total amount of the signature bonus to be paid by the company still in 2018 is R$ 2.2 billion. This value represents 0.9% of the forseen investments under the 2018-2022 Business and Management Plan, and will be reallocated within the currently approved budget for this plan.
In addition to the signature bonus, the judgment criteria also considered in the public sale was the Minimum Exploration Program (“PEM”) to be applied on the block, expressed in Work Units (“UTs”) - covering the number of wells to be drilled, and the seismic extension to be employed during the exploratory activity.
The table below summarizes the result of Petrobras’ participation in the 15th Round of ANP Bidding:
As in the bidding rounds in 2017, Petrobras, as a result of its strategic vision to recompose its exploratory portfolio, in which it seeks to ensure the sustainability of the company’s future oil and gas production, acted selectively in the auction held today.
In Campos Basin, Petrobras acquired 2 blocks in partnership with Exxon and Statoil, in which it will be the operator, and 2 blocks in partnership with Exxon and Qatar Petroleum, in which Exxon will be the operator. The companies have identified large geological potential in these deep-water blocks, which supports their competitive proposals.
The exploratory blocks in this region of Campos Basin has been the object of interest and high competition in the ANP bidding rounds carried out in 2017 and 2018. This was the sector that generated the most competition in the auction, having drawn interest from 10 other companies (BP, Chevron, Exxon, Petrogal, Qatar Petroleum, Repsol, Shell, Statoil, Total, Wintershall).
In the Potiguar Basin, another prominent deep-water exploratory frontier in Brazil, Petrobras acquired 3 blocks, 2 of which in partnership with Shell and 1 block with 100% stake. Petrobras will be the operator in all of them. The blocks are close to the important discovery of Pitu (Petrobras 40%, BP 40% and Petrogal 20%), held in 2013, which is currently at the assessment stage.
The operation in consortia with major companies is aligned with Petrobras’ strategic objective to strengthen partnerships, sharing risks, combining technical and technological skills and capturing synergies to leverage results.
The auction held today will be followed by a qualification stage of the winning bidders and subsequent signing of contracts.