Petrobras reduced its 2022-2026 production targets to about 2.6 MMboe/d from its initial forecast of 2.7 MMboe/d in November 2021, reflecting a reduced share of interest by co-participation agreements in Atapu and Sepia fields (OGJ Online Dec. 20, 2021). The agreements are expected to go into effect May 1.
The downward revision is a result of Petrobras’s reduced stake in the fields after losing to a TotalEnergies-led consortium during Brazil's second transfer-of-rights production sharing auction on Dec. 17. Petrobras exercised its right to hold at least a 30% operating stake in the winning consortium for both fields ahead of the auction.
Atapu, within Block BM-S-11A, started production last year and achieved 160,000 b/d via floating, production, storage, and offloading unit (FPSO) Carioca about 200 km off the coast. A second FPSO is expected to increase overall oil production to around 350,000 b/d.
Sépia, in Block BM-S-24, started production this year with a first FPSO and has achieved a plateau of 180,000 b/d. A second FPSO is expected to increase production to about 350,000 b/d.
Petrobras is operator at Atapu and Sépia PSCs. After the co-participation agreements take effect, it will have 52.5% interest in Atapu with partners TotalEnergies SE (22.5%) and Royal Dutch Shell PLC (25%), and 30% interest in Sépia with partners QatarEnergy Co. (21%), TotalEnergies (28%), and Petronas Co. (21%).