B3, a Brazilian stock exchange based in São Paulo, will hold, for the next three years, auctions to sell the Union’s shares of oil and natural gas in production sharing contracts and in the Tupi Unitized Deposit. B3 was hired for this purpose by Pré-Sal Petróleo (PPSA), a public company linked to the Ministry of Mines and Energy (MME), which since November 2013 has been managing Production Sharing Contracts; in representing the Union in Production Individualization Agreements (Unitization); and managing the marketing of oil and natural gas.
The oil auction calendar is being defined by PPSA and the MME, aiming to provide greater predictability for the market. The first two auctions for the sale of the Union’s oil are scheduled for July this year and April 2025. The remaining oil auctions will take place from the fourth quarter of 2025, while an exclusive gas auction is being evaluated, with no forecast yet. date.
For the Minister of Mines and Energy, Alexandre Silveira, the Union’s oil and gas resources are essential to ensure investments in health, education and the energy transition, through the Social Fund.
Notice
The Technical Director and interim president of PPSA, Tabita Loureiro, informed that the July auction will sell cargoes from Mero and Búzios from 2025, whose oil purchase and sale contracts expire in December this year. This May, the notice will be released with all the information about the auction, scheduled for July 31st. Tabita Loureiro is in Houston, Texas, where she will participate, next Wednesday (8), in the Offshore Technology Conference (OTC).
The director and interim president of PPSA also said that the volumes of oil that will be made available in each of the auctions are being defined. “We know that the Union’s curve is increasing and, therefore, we decided to establish a calendar to offer predictability to buyers. We understand that this strategy could result in greater competitiveness and better results for the Union,” she stated. At OTC, Tabita will address the sector’s perspectives offshore (high seas) in Brazil.
Defining dates will help buyers plan logistics for the offloading (a set of operations aimed at transporting oil produced by the maritime unit), highlighted the director of Administration, Finance and Marketing at PPSA, Samir Awad. “Considering the significant increase in Union production expected in the coming years, companies potentially interested in purchasing oil from the Union need to plan so that, in the short and medium term, they have dynamically positioned shuttle tankers available for PPSA relief. We are talking about daily production in the Union with the potential to reach more than 500 thousand barrels per day in 2029”.
Production
The estimate is that the Union’s oil and natural gas production curve will take a leap in the coming years. Oil production is expected to increase from the current 50 thousand barrels per day (bpd) to 103 thousand bpd in 2025, 234 thousand bpd in 2026, 327 thousand bpd in 2027, 417 thousand bpd in 2028, reaching a peak of 564 thousand bpd in 2029 The natural gas curve is also upward. From 2027, it should reach 1.7 million cubic meters (m³). In 2028, the expectation is to reach 2.9 million m³ and, in 2029, to reach 3.5 million m³.
Three other oil auctions have already been held by PPSA on B3. In the last one, which took place in November 2021, the long-term Union productions of Mero, Búzios, Sapinhoá and Tupi were sold, with the productions of Mero and Búzios being sold with three-year contracts and the others, with five-year contracts. years. Since then, the Union has also started to rely on oil production in Sépia and Atapu, which are being sold through direct market consultation, PPSA informed through its press office.
