Source: Valor 1000
By: Livia Ferrari
With the recovery of international oil prices far above previous years, 2018 was a positive year for the sector. Additionally, the elections in Brazil did not bring deadlocks to the regulatory agenda or to the planned bidding rounds.
With the auctions held by the National Petroleum, Natural Gas and Biofuels Agency (ANP) and the sale of Petrobras’ assets, private companies, including international oil companies, are assuming a greater role in the sector, with projects that require large investments, such as the pre-salt and mature fields of Campos Basin, says Edmar de Almeida, professor of the Energy Savings Group of the Universidade Federal do Rio de Janeiro.
He predicts the attraction of greater investments this year and in 2020, despite the current volatility of oil prices.
Enauta, owner of the second best performance in the sector ranking, expects to invest US$ 198 million in 2019 and 2020. The Company has 15 concessions for oil and gas exploration and production in eight basins in Brazil. Lincoln Guardado, Enauta’s CEO, observes that the Atlanta field, in the Santos Basin, in which the Company holds a stake of 50%, contributed to the record results of 2018, when the Company’s net profit was BRL 425.2 million, 19% higher than in the previous year.
In 2019, the Company is seeking to increase the daily production of Atlanta to 27,000 barrels of oil per day, above the average of 12,000 barrels per day in 2018. With one year of operation, the field reached 5 million barrels. Manati field (45% stake), one of the largest producers of non-associated gas in the country, supplies more than 20% of the Northeast’s needs. Operating for more than ten years and even having already begun its natural decline, Manati remains important for Enauta’s performance.
One of the largest producers of oil and natural gas in the country, Repsol Sinopec is a member of the Sapinhoá and Lapa fields’ consortium, in the pre-salt of the Santos Basin, and has been a pioneer in the Albacora Leste field, in Campos Basin, since 1998.
Third in the ranking, the Sino-Spanish company produced an average of 80,600 barrels of oil equivalent per day last year and has proven reserves of 182 million barrels. “2018 was a very good year for us, with success in different areas such as production and reserves. We have a solid company”, says the CEO of Repsol Sinopec, Mariano Ferrari.
In 2018, the company won ANP auctions and is considering taking part in new bids in 2019, when three rounds should be held. According to Ferrari, Repsol Sinopec will invest around US$ 400 million in exploration and production in Brazil in 2019 and 2020. This figure does not include possible new participations. In the last four years, investments in technology have exceeded BRL 150 million.
The executive admits that expectations are high with the opening of the Brazilian gas market. In his view, it could contribute to accelerate the development of the company’s fields, which also participates in Pão de Açúcar, Seat and Gávea, in Campos Basin – one of the most promising areas for gas production in the pre-salt, with recoverable volumes of more than 1 billion barrels of oil equivalent.