The Brazilian National Council for Energy Policy (CNPE) published the Resolution no. 9, of April 11, 2017, which authorizes the National Agency of Petroleum, Natural Gas and Biofuels (ANP) to hold the Third Bidding Round under the Production Sharing Regime in the Pre-Salt Area.
The areas to be offered in this bidding round are: Pau Brasil, Peroba, and Alto de Cabo Frio - West, at the Santos Basin, and the Area of Alto de Cabo Frio - Central, at the Santos and Campos Basins.
Petrobras will have 30 days to present a response as to the exercise of the right of first refusal to be the operator of the blocks.
The Resolution also approves the technical and economic parameters of the Production Sharing Agreements to be entered into by the Federal Government, among which are:
a) The Federal Government’s oil surplus will vary according to the price of the Brent oil barrel and the average daily production of active producing wells, considering, for such purpose, the value of signature bonus, the development of the production in individual modules, and cash flow during the term of effectiveness of the Production Sharing Agreement;
b) Definition of the minimum percentage of referred surplus for each one of the areas to be offered;
c) The value of the signature bonus for the areas will be as follows: Pau Brasil, R$ 1,5 billion; Peroba, R$ 2 billion; Alto de Cabo Frio – West, R$ 350 million; Alto de Cabo Frio – Central, R$ 500 Million.
On April 20, 2017, the Brazilian National Council for Energy Policy’s Resolution no 06/2017 was also published, which authorized the ANP to hold the 14th Bidding Round of blocks for exploration and production of oil and natural gas, in which 287 blocks outside the pre-salt area under concession regime will be offered.
The referred blocks, totaling an area of 122,622,40 square kilometers, are located at sedimentary sea basins of Sergipe-Alagoas, Espírito Santo, Campos, Santos, and Pelotas, and at the onshore basis of Parnaíba, Paraná, Potiguar, Recôncavo, Sergipe-Alagoas, and Espírito Santo.