Rodrigo Viga Gaier – August 8, 2024, 11:33 PM
Brazil’s state-run oil company Petrobras has obtained environmental licenses to expand production in two offshore fields, and could have one vessel start production earlier than expected in one field, three people with knowledge of the matter told Reuters.
The licenses will allow Petrobras (PETR4.SA), opens new tab to increase production in the Mero and Buzios fields, with Buzios benefiting from the early start-up of FPSO (floating production storage and offloading) vessel Almirante Tamandare. Both fields are in the Atlantic Ocean’s Santos Basin.
Petrobras and Brazil’s environmental agency Ibama did not immediately comment on the licenses. In a statement, Petrobras said the FPSO is still slated to start production in 2025.
Petrobras and Brazil’s environmental agency Ibama did not immediately comment on the licenses. In a statement, Petrobras said the FPSO is still slated to start production in 2025.
The licenses have been obtained despite an ongoing strike at Ibama that has slowed the issuing of permits this year.
The two permits should add 66,000 barrels per day (bpd) to Brazil’s production, with 46,000 in Mero and 20,000 in Buzios. That should add around 36,000 bpd to Petrobras’ production portfolio, with the remaining output going to its partners and state-run firm PPSA, said the sources.
FPSO Almirante Tamandare is expected to arrive in Brazil in October, and could start production this year, the sources said. The vessel has a 225,000-bpd capacity.
In its strategic plan, Petrobras expects to produce 2.8 million barrels of oil equivalent per day (boepd) in 2024, with a potential variation of 4% up or down.
Petrobras produced a daily average of 2.7 million boepd between April and June, up 2.4% compared to the same period in 2023.
Source: Reuters / BR8
