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Attractive Market for Oil Companies Amid ANP Auctions

Written by Paulo Nogueira
Published on 10/07/2018 at 20:02
Updated on 10/07/2018 at 23:45
Leilões da ANP
Mercado atrativo para as empresas de petróleo diante dos leilões da ANP. Mesmo com o preço do petróleo mais baixo algumas medidas estão sendo revisadas para alavancar a expectativa de novos negócios.
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Attractive Market for Oil Companies in Light of ANP Auctions. Even with Lower Oil Prices, Some Measures Are Being Revised to Boost Expectations for New Business.

The Market Shows Signs of Growth with ANP Auctions. Daniel Rocha, executive director of Accenture Strategy (specialized in energy), informs that although the market presents a scenario with lower oil prices than in the old days, we may have new hopes as much is being revised in the sector. New business opportunities are emerging, such as the sale of assets by Petrobras and other large companies like Maersk, according to Petrorio’s perspective (formerly HRT).
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US$ 1 Billion in Stakes

Nelson Queiroz Tanure, president of Petrorio (formerly HRT), recalls that in 2013, his company nearly collapsed and since then its efforts have been directed towards mature fields (which no longer attract the attention of foreign companies). According to President Nelson, mature fields are assets that represent the company’s expertise. Stakes of up to 1 billion dollars are in the company’s plans for acquisition in fields that are already in production.

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ASSET SALES

The president of Ouro Preto, Rodolfo Landim, confirms the advantages for companies in light of Petrobras’ asset sales. This action represents an opportunity mainly for Brazilian companies that have expertise in the country’s sedimentary basins. Rodolfo recalls that in 2016 the barrel price was under 30 dollars and today it is around 77 dollars. Companies have benefited from the improved oil price, adds Rodolfo, who was an employee of the state-owned company and a former executive of Eike Batista’s group.

GROWTH OF OIL GROUPS

The current scenario shows a return to growth for oil groups on the stock market. Large multinationals are more confident and returning to Brazil with strength. “For companies of our size, it is important that they (multinationals) are here in the country, as it allows us to connect with them,” says the president of Queiroz Galvão Exploration and Production (QGEP), Lincoln Guardado.

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ANP AUCTIONS

Still in July of this year, the ANP will open bidding for 158 blocks for oil exploration, bringing opportunities for significant business. The new model of ANP auctions represents a major boost for oil companies in Brazil. Consultant Rocha from the company Accenture Strategy explains that at times a particular block may not seem attractive, but with the rise in oil prices, it can become a substantial business.

Also, check out: Petrobras Closes Deal with French Multinational Renewable Energy Company.

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Paulo Nogueira

Graduated in Electrical Engineering from one of the country's technical education institutions, the Instituto Federal Fluminense - IFF (formerly CEFET), he worked for several years in the offshore oil and gas, energy, and construction sectors. Today, with over 8,000 publications in online magazines and blogs on the energy sector, the focus is to provide real-time information on the Brazilian job market, macro and microeconomics, and entrepreneurship. For questions, suggestions, and corrections, please contact us at informe@clickpetroleoegas.com.br. Please note that we do not accept resumes at this contact.

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