Shell Brazil Partners With Copergás and Becomes the First Private Oil Company in the Pre-Salt to Sell Gas Directly to Distributors

Written by Flavia Marinho

Published on 25/08/2021 at 08:52

Shell se torna a primeira petroleira privada do pré-sal a vender gás direto a distribuidoras

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Oil Giant Shell Forecasts Delivering 750,000 Cubic Meters Per Day (m³/d) to the Pernambuco Company in 2022 and 1 Million m³/d in 2023

The oil giant Shell, the second largest producer of natural gas in Brazil, and the Pernambuco Gas Company (Copergás) signed a natural gas supply agreement yesterday (08/25) valid for the years 2022 and 2023, joining Petrobras as a supplier of the pre-salt product directly to a concessionaire.

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The volumes contracted by Copergás – 750,000 m³ daily starting in January 2022 and 1 million m³ daily in 2023 – are part of the first contracting batch outlined in the public notice.

Shell Brasil also has one of the largest global portfolios of Liquefied Natural Gas (LNG), which will serve as the two supply alternatives for Copergás.

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“For Shell Brasil, this first agreement with a state-owned natural gas distributor demonstrates our supply confidence. At the same time, it increases the number of potential suppliers in the Brazilian market and helps reinforce the country’s energy security with more natural gas, an important transitional fuel, and enables the supply of gas from the pre-salt to the state of Pernambuco,” said André Araujo, president of Shell Brasil. “Pernambuco has a diversified and growing industrial park, and for various sectors, natural gas is a strategic input,” he added.

Partnership with Shell Brasil Gives Copergás a Prominent Position in the National Scenario

According to the president of Copergás, André Campos, with this pioneering initiative, the company from Pernambuco “takes a prominent position in the national scenario” by signing this first agreement, post new Gas Law, for the supply of the product. “Copergás, in addition to diversifying suppliers, seeks to provide its users with greater competitiveness and price stability, in light of fluctuations in oil prices on the international market,” argued Campos.

Copergás launched the supply notice on September 17, 2020, aiming to diversify fuel suppliers and seek more competitive prices, benefiting the market in general and end consumers. Eight companies applied, presenting 18 proposals.

Shell Brazil Partners With Copergás and Becomes the First Private Oil Company in the Pre-Salt to Sell Gas Directly to Distributors

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Shell Brazil Partners With Copergás and Becomes the First Private Oil Company in the Pre-Salt to Sell Gas Directly to Distributors

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