Producers will be able to contract part of Petrobras' processing capacity and will continue to own the gas produced and all its derivatives

Petrobras announced last night (27th) that it had started the procedures that give access to other natural gas producers in Brazil to its raw material processing units. Petrobras' largest refinery, Replan records the biggest drop in oil production since 2010

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Petrobras will start to act as a natural gas processor supplied by other agents, without having to buy the product from them.

With this measure, the state-owned company reaffirms its commitment to contribute to the development of an open, competitive and sustainable gas market in the country.

According to Petrobras, Natural gas processing capacity will be offered in two stages:

First, the offer of capacity to agents who have rights over the production of natural gas from fields in production, in order to guarantee the continuity of oil and gas production in the country, which according to the company, is already underway.

The second step refers to offering the processing capacity available to other interested agents. Petrobras informs that the second stage will take place after the negotiations of the first and that it will be held annually.

Petrobras opens market

Currently, Petrobras buys volumes of natural gas from other onshore and offshore producers in Brazil, processes it in its units, contracts transport through pipelines and resells the gas to state natural gas distributors.

When the new model is implemented, natural gas producers will not necessarily need to sell their gas to Petrobras.

Producers will be able to hire part of Petrobras' processing capacity and will continue to own the gas produced and all its derivatives, allowing them to trade their products directly with the market.

gas processing plants

The natural gas processing units are industrial plants in which the fractions of hydrocarbons in the gas are separated, giving rise to various products, including natural gas, within the specifications suitable for consumption.

Click here and access the Petrobras website with more information on natural gas processing plants and capacity contracting.