Dias Toffoli’s decision releases sale of Petrobras’ deepwater areas in Sergipe

Petrobras is seeking a partner to develop the production of its deepwater projects in the state

January 13, 2019

The decision of STF President Dias Toffoli to overturn the injunction granted by Minister Marco Aurélio de Mello that suspended the effects of Decree 9.355 / 2018 and made it difficult to sell Petrobras assets releases the sale of three offshore fields in the Espírito Santo Basin and four exploratory blocks in the Sergipe-Alagoas Basin. The internal evaluation of Petrobras is that the measure also gives more comfort to the company to form consortiums to participate in the auctions of exploratory blocks scheduled for 2019.

In December last year, after the injunction was granted by Minister Marco Aurélio de Mello following a request from the Workers’ Party (PT), Petrobras disclosed a relevant fact stating that the measure “does not affect its disinvestment processes involving the assignment of rights in Exploration & Production (E & P) started before May 2018 ”

As a result, Petrobras has halted the launch of new E & P divestment projects. And it also put a halt to the sale of the fields of Lagoa Parda, Lagoa Parda Norte and Lagoa Piabanha, located in Espírito Santo, near the municipality of Linhares, launched on October 8, 2018, and the exploratory blocks BM-SEAL-4, BM-SEAL-4A, BM-SEAL-10 and BM-SEAL-11, in deep waters of the Sergipe-Alagoas Basin, where six prospects were identified, in the final delimitation phase.

Petrobras intends to sell stakes in the Sergipe deepwater project, which provides for the installation of two new FPSOs, starting in 2020. Operator in all contracts, Petrobras is offering 20% ​​to 50% interest, 35% of BM SEAL-4 ( 75%), 50% BM-SEAL-4A ( 100%), 30% BM-SEAL-10 (has 100%) and 20% BM-SEAL 11(60%). Indian companies ONGC and IBV are partners in part of the projects.

In practice, the state company seeks a partner to participate in the development of the project. Still pending a final investment decision, the teaser announces that the plan is to develop the future fields in two modules by installing the first FPSO. Until then, it will be necessary to complete the delimitation of the fields and declare the commerciality – a production test (TLD) was planned for 2018 but was not carried out. They are discoveries of light oil and natural gas, which required investments in the construction of pipelines and onshore treatment unit.

Petrobras intends to install a 128 km long gas pipeline to leach natural gas production from the Farfan, Barra and Muriú reservoir production projects in the exploratory blocks area BM-SEAL-10 and BM-SEAL-11, in deep waters of the Sergipe-Alagoas Basin. The production of module 1 of the region will be made from a FPSO with first oil scheduled for October 2023.

The areas were contracted in Rounds 2 (2000) and 6 (2004), and underwent an extensive exploratory program, including the drilling of 26 wells, confirming the potentials of the prospects of Barra, Farfan, Cumbe, Muriú, Moita Bonita and Poço Verde. Petrobras’ business plan even anticipated the start of production in Sergipe, but the project was postponed amid post-2014 investment cuts.

Source: epbr

Leave a Reply

Powered by WordPress.com.

Up ↑

%d bloggers like this: