Petrobras – Demonstration of Interest in Executing the Right of Preference in the Fourth Round of Bidding for Areas under Production Sharing Regime

 

Rio de Janeiro, December 14, 2017 – Petróleo Brasileiro SA – Petrobras informs that today it presented to the National Energy Policy Council (CNPE) a manifestation of interest in exercising the preemptive right for the 4th Exploration Block Bid Round under the production sharing regime, pursuant to Law 12,351 / 2010 and Federal Decree 9,041 / 2017.

 

Considering the parameters disclosed in CNPE Resolution 21 of 2017, after technical analysis, approval by the Executive Board and resolution in the Board of Directors, Petrobras concluded by expressing the interest in exercising preemptive rights in the following areas, with the minimum percentage of 30% in each area, focusing on maximizing the value of its portfolio: Dois Irmãos, Três Marias and Uirapuru.

 

The amount corresponding to the signature bonus to be paid by the company, considering that the results of the auctions confirm only the minimum holdings indicated above in each block, is R $ 945 million.

 

Petrobras’ position in these bids is in line with the fundamentals of its Strategic Plan, which provides for the sustainability of oil and gas production, with the continuation of the exploration portfolio strengthening and partnerships.

 

It is important to note that Petrobras may increase the percentage of 30% indicated for the areas where it is exercising its preemptive rights, forming consortiums to participate in the bids.

 

In relation to areas in which Petrobras has not exercised its preemptive right, the company may participate on an equal basis with other bidders, whether acting as operator or non-operator.

 

With the completion of this round, scheduled to occur in June 2018, the company will timely communicate to the market the results of its participation, in compliance with current legislation.