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Petrobras Forms Partnership with Petrogal, Repsol, and Shell to Share Offshore Pre-Salt Gas Pipeline Infrastructure and Promises to Make the Natural Gas Market in Brazil More Competitive
An important step towards opening the gas market in Brazil may be finalized this Wednesday (30). Petrobras announced that it will sign an agreement to formalize a milestone in building a more competitive sector: the sharing of natural gas transportation and processing infrastructures in offshore pre-salt pipelines.
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In a webinar to be held later today (30), the state-owned company will sign contracts with Petrogal Brasil, Repsol Sinopec Brasil, and Shell Brasil, companies that own offshore pre-salt pipelines in the Santos Basin. The virtual event will be attended by the president of Petrobras, Roberto Castello Branco, as well as executives from Shell, Repsol, and Galp Energia.
“The transportation and processing agreements will be a milestone in opening Brazil’s natural gas market. They demonstrate the commitment of all partners to contribute to the development of a competitive and sustainable market in the country,” said Petrobras CEO, Roberto Castello Branco.
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With the finalization of these contracts, oil companies will be able to transport gas produced in the offshore pre-salt fields of the Santos Basin through any of the export routes and carry out its proper processing at Petrobras’s processing plants.
Contracts Include Integrated Systems for Pre-Salt Natural Gas
According to Petrobras, the contracts will enable the inclusion of the Integrated Natural Gas Transportation System (SIE), which will allow physical interconnection and sharing of transportation capacities in routes 1, 2, and 3, and the Integrated Natural Gas Processing System (SIP), which will provide companies access to Petrobras’s processing units in Caraguatatuba (SP), Cabiúnas, and Itaboraí (RJ).
The combination of the SIE and SIP systems is another fundamental milestone for companies to market their volumes of natural gas from pre-salt offshore assets directly to their customers, according to Petrobras.
In compliance with commitments made to the Administrative Council for Economic Defense (CADE) in July 2019, this decision is part of a series of measures to make it feasible to diversify agents, which may result in increased competition and a reduced participation of Petrobras in the natural gas chain in Brazil.
