US$ 30 billion to revitalize mature fields

October 31, 2019

ANP projection considers round zero contracts that have been extended for up to 27 years

To revive the mature fields of the twelve contracts of round of the zero concession extended by the ANP will require investments of US $ 29 billion over 27 years. The projection was made by Marcelo Castilho, Development and Production Superintendent of the agency, during a presentation at OTC Brasil on Wednesday (30/10), in Rio de Janeiro.

The planned contributions will involve the entire chain, from the supply of goods and services to exploitation. “Each contract has its own extension period, up to 27 years. So we hope that during this period, the chain will receive these investments, ”he said.

The contracts include offshore concessions (Marlim, Marlim Leste, Marlim Sul, Friar, Flying, Ubarana, Jubarte, Roncador), and onshore (Fazenda Alegre, Araçás, Canto do Amaro, Estreito). The ANP has already received 65 extension requests for mature asset contracts. Of the 53 under analysis today, ten are offshore and 43 onshore.

The ANP should deliberate on reducing the royalty rate reduction to 5% in the incremental production of mature fields. The agency analyzes 40 requests accordingly.

There are currently 241 mature fields in Brazil, of which over 50% of them have active contracts. Petrobras’ divestments are expected to contribute to its revitalization, with the entry of new players that prioritize its development.

Source: BE Oil