Dresser-Rand eyes new oil and gas contracts for its factory in Brazil

Dresser-Rand, a Siemens Group equipment manufacturer, is betting on the resumption of the Brazilian oil and gas sector and is seeking new contracts for its Brazilian plant, after completing the delivery of one of its largest projects to Petrobras at the beginning of this year.

Despite the recent easing of local content rules, which has expanded the market to supplier companies without factories in the country, the company is confident in the knowledge acquired and currently participates in competitions to supply equipment for platforms in the areas of Libra and Sepia in the Santos Basin  as well as waiting for new opportunities.

In an interview with Reuters, the company’s global location director, Christian Schöck, said that the factory, built in the wake of the pre-salt discoveries in Santa Bárbara d’Oeste (SP), will have its production capacity maintained to meet future contracts unlike other companies that ended up closing the doors.

“Dresser-Rand Siemens has made proposals to companies that will supply (platforms) to Petrobras … we are presenting the proposals with local content to try to leverage this potential,”

The company built the plant in an area of ​​approximately 42 thousand square meters to meet a contract with Petrobras in 2011, of 723 million dollars at the time, to provide 80 gas compression equipment for eight platforms, and also with the belief in the future of the sector.

“At the time this project was contracted Brazil was experiencing a boom in the oil and gas market and was further strengthened by the local content policy being implemented … with the discovery of the pre-salt layer and all that the industry looked like that it would develop very fast … and we bet on it. ”

However, with the sharp fall in global oil prices, coupled with the crisis in the Brazilian oil sector amid the outbreak of the Lava Jato operation, the development of the industry did not occur at the speed that companies in Brazil wanted.

Dresser-Rand’s own contract with Petrobras has suffered some obstacles, such as the delay in the construction of the platforms that would receive the equipment.

Some of the hulls even had to be sent for construction overseas and Schöck explained that Dresser and Petrobras had to make adjustments to the contract.


Recently, the plant closed a new agreement with Petrobras for the storage and preservation of 20 compression units, for two platforms, already ready and waiting to be installed. “We are talking about more than 450 boxes of different volumes and sizes per platform,” Schöck said.

The contract was necessary precisely because of the delay in the construction of Petrobras’ own platforms.

In addition, Dresser-Rand operates in the São Paulo unit in synergy with Siemens in projects for manufacturing, storage and other productive activities related to steam turbines and turbogenerators. Also has an agreement in progress for the construction of gas turbines for the generation of electrical energy, about which still can not give many details.

But the absence of new large contracts like the one closed in the past with Petrobras does not intimidate the company, which believes in the potential of Brazil. According to Schöck, the investment made in construction, training, hiring and development of suppliers in the country has a long-term profile.

“This capacity (of the São Paulo factory) was installed in Brazil and we reached productivity and cost levels compared to operations outside Brazil … Today, Siemens and Dresser-Rand are no longer dependent on foreigners to do any of the work of installation, maintenance …etc., “said the executive.

For Schöck, recent changes in local content rules have had good points, such as greater clarity for the calculations and what can be accounted for. However, the executive believes the rules should have been more detailed in sectors and types of equipment.

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