Petrobras Signs Contract With French Company Vallourec for Oil and Natural Gas Exploration in Brazil’s Pre-Salt

The Brazilian Company Petrobras Signed a Contract with Vallourec, French Company that Supplies OCTG Petroleum Tubular Products for Oil and Natural Gas Drilling in the Brazilian Pre-Salt.

For this Wednesday, (01/25), the oil and gas sector in Brazil has amazing news! The state-owned Petrobras has just signed a contract for three years with Vallourec to carry out exploration in the Brazilian pre-salt. In this way, the French company will be responsible for supplying premium OCTG products, associated accessories, and specialized physical and digital services, totaling 110 thousand tons of products.

New Partnership Between Petrobras and Vallourec to Explore the Brazilian Pre-Salt Promises to Revolutionize the Sector

Vallourec has highlighted that it will support Petrobras with the supply of its products and accessories, physical and digital services in its oil and natural gas exploration wells in the Brazilian pre-salt region, located below 4,000 meters of salt and post-salt sediments.

The contract signed by the French company represents a scope increase for Vallourec, which for the first time included the supply of seamless pipes from 16” to 18” of large diameter manufactured in Brazil with the technology of Jeceaba, in Minas Gerais, which will support the Brazilian company in maximizing its production.

Petrobras also plans to enhance the French company’s digital solutions, including full traceability of pipes, Smartengo Running Expert, for circular economy solutions, slings, and other components.

According to Phillipe Guillemot, President and CEO of Vallourec, he is very pleased with the contract made by both companies: “I am very pleased with this new agreement, which further solidifies the long-standing relationship between Vallourec and Petrobras.”

“This latest contract further demonstrates Vallourec’s capability to provide solutions for the sector that are technology and efficiency enablers for the key players in the industry. I am grateful to Petrobras for once again placing its trust in Vallourec for the exploration of this important exploration area,” concluded the CEO. 

Learn a Little About the French Vallourec

The French company Vallourec is among the world leaders in premium tubular solutions, operating in energy markets. Currently, the company has approximately 17,000 employees, integrated plants in over 20 countries, and an advanced research and development sector.

In Brazil, Vallourec has eight units. The ones in Barreiro and Jeceaba are focused on the production of seamless steel pipes, which will also assist in maximizing Petrobras’s production.

Understand a Little More About Petrobras and Its Plans

Petrobras is a Brazilian state-owned company, founded in 1953 during the second government of Getúlio Vargas, which has more than 49,000 employees and is engaged in the exploration and production of oil and natural gas.

The new strategic plan was approved on 11/24/2021, stating that in the next five years, US $6.8 billion will be invested, an amount 24% higher than the same period of the previous plan.

The original contract was signed between both companies in 2018, and since then, Vallourec has been supplying products to Petrobras, both physical such as seamless steel pipes, premium accessories, and connections, as well as associated services, such as inspection, repair, supervision, among others, and also digital services. 

“Petrobras is one of the most productive oil companies in the world. We are proud to continue collaborating with this historic partner and are confident that these contracts will strengthen both companies,” highlighted Edouard Guinotte, CEO of the Vallourec Group, in 2020.

Now with the renewed contracts, both reaffirmed their historic partnership.