You are here

Brazil’s 12th oil and gas round draws USD 215m in E&P investments

29th November 2013

ANP announces USD 70m in revenues for country’s 12th oil and gas round, at least USD 215m pumped to explore and develop blocks

Brazil’s 12th oil and gas round draws USD 215m in E&P investments
The government hopes the tender will boost the country’s natural gas production

The ANP, Brazil’s oil and gas regulator, has estimated that at least USD 215m will be pumped to explore and develop the blocks offered at the country’s 12th oil and gas round, as per the minimum exploratory programme (PEM) submitted by winning bidders.

 

The auction took place on Thursday, generating over USD 70m in revenues from a group of national and international companies. The round is an important step towards increasing the country’s exploration and natural gas production, officials said.

 

Of the 240 blocks on offer, 72 were allocated. The majority (54) are distributed along the mature Recôncavo and  Sergipe-Alagoas basins. Other blocks are located on the Acre Basin and the Paraná and Parnaiba basins. Average local content rates for the blocks were set at 72.61 per cent for the exploration phase and 84.47 per cent for the development phase.

 

A total of 12 companies placed winning bids, including eight national and four foreign companies. Petrobras amassed over half of the blocks (49), either on its own or in partnerhsip with other companies, and retained operatorship over 43. In addition to the state-owned oil giant, winning bidders included: Alvopetro, Bayar, Companhia Paranaense de Energia, Cowan, GDF Suez, Geopark, Nova Petróleo, Ouro Petro, Petra Energia, Trayectoria and Tucumann.

 

ANP director Magda Chambriard singled out the Acre Basin as a new vein in Brazil’s oil and gas exploration scene, while mines and energy minister Márcio Zimmermann highlighted the tender’s potential role in stimulating the country’s natural gas production. The Parnaiba Basin, for instance, accounts for around 6 per cent of Brazil’s total gas production.