Sale of Pampo and Enchova mature fields will have a rebid

11/28/18

Petrobras will rebid the disinvestment processes of the Enchova and Pampo packages, located in the Campos Basin. Thus, the company will once again offer the two packages to the companies that submitted firm proposals, together with the consortium Ouro Preto / EIG Global Energy Partners, selected a few months ago for having offered the best price for the deal, with the value of about US $ 1 billion. As reported by BE Petróleo, the rebid was released on November 26, with a deadline for proposals for December 7.

The rebid feature integrates one of the requirements determined by the TCU in the disinvestment process and has been used previously by Petrobras in other packages. The strategy is necessary when there is an expressive number of changes in the original Purchase and Sale Contract (PSC) so that the other bidders have the opportunity to re-evaluate their participation.

Apparently, the Enchova and Pampo rebid invitation was sent only to Trident Energy and PetroRio. In this new phase, the companies receive the final terms of the PSC negotiated with the consortium Ouro Preto / EIG Global Energy and have until the date of delivery of proposals to evaluate the document and present or not new proposal, together with the guarantees and the letter of credit .

Petrobras and the Ouro Preto / EIG Global Energy consortium have been negotiating the two packages directly for about six months since the group submitted the best proposal and last week closed all PSC terms. While they have the advantage of receiving a final deal already discussed in the smallest detail, potential rivals of the rebid have the challenge of running out of time to rethink their proposals and seek guarantees if they are interested in the business.

The question of time counts in favor of the company originally selected, given the large number of documents to be provided and the expedited time for proposals for rebid. On the other hand, the companies that return to the process have the advantage of knowing, albeit informally, the price level offered by the first bidder and receive a PSC already digested.

As verified, there are cases in the divestment program in which the rebid altered the final result of the process. Petrobras plans to complete the sale of the Pampo and Enchova fields later this year. Internally, the oil company works with the date of December 19 to submit the contracts to the approval of the Board of Directors.

If the companies called for the rebid do not submit proposals or are unable to override the consortium’s proposal, Ouro Preto will make its debut as a field operator in production and EIG, a group that owns Prumo Logística, will mark its entry into the E & P segment. Nevertheless, the bet is that the new operator will adopt an unprecedented production model to try to reduce costs, which may include, for example, the operation of the system by land.

Ten fields in play

 The two packages include ten fields and a total production of more than 35 thousand boe / day. The Enchova cluster includes the fields of Enchova, Enchova Oeste, Bicudo, Bonito, Marimbá and Piraúna, which have 32 wells, five platforms and produce about 26 thousand boe / day. The Pampo package includes the Badejo, Pampo, Linguado and Trilha fields, 27 wells, two units and a production of almost 10,000 boe / day, according to ANP data from September.

The teaser of the Pampo and Enchova packages was launched in July 2017. During the exclusive negotiation with Petrobras, Ouro Preto met with the ANP to discuss transfer of operations, abandonment of wells and prospects of renewal of the concession of the assets.

The two packages require operator B license, but there is concern that this issue may generate a problem with the ANP in the Enchova cluster, during the transfer process of the concession, because the field of Marimbá is located in water depth up to 700 m. Under the agency’s criteria, the asset has specific characteristics for operator A and not B as stipulated by Petrobras.

Source: Brazil Energy

Leave a Reply