Webinar: Continuity plan of essential Oil & Gas activities in Brazil

BNCC and NBCC in Rio de Janeiro convened more than 50 representatives of companies operating in Brazil and Norwegian public entities to an online discussion forum about the Brazilian Oil & Gas Industry after Covid-19. Our chairperson, Aage Thoen, opened the event welcoming all participants and the keynote speaker, director of the Brazilian National Agency of Petroleum, Natural Gas and Biofuels (ANP), Mr. Felipe Kury.

The director of ANP showed confidence in the recovery of the oil industry after the crisis in the webinar that took place on June 3, 2020. Felipe Kury said that Brazilian pre-salt is still one of the hottest oil plays in the world. ANP’s director delivered a complete presentation on the continuity plan for oil and gas activities in Brazil and answered several, very relevant questions from the audience.

“The mother of all crisis has had an enormous impact on all sectors and is even causing social unrest. The length of the crisis matters because it can lead to permanent loss of jobs, to disruption of supply chains, and we already see disastrous figures in global trade, setting us back to the 1930s,” said Mr. Kury. However, the Oil & Gas Industry in Brazil has been resilient, sustaining high production levels and focusing on protecting the health of the industry. Both the Brazilian government and ANP have been working hard to create and maintain a healthy environment for Brazil’s investments.

Even though the turbulent times, legal and regulatory enhancements have been published recently, moreover, essential, and structuring measures are being considered. Mr. Kury addressed the main government initiatives for the oil and gas sector. They are focusing on the recovery process in critical areas such as the new gas market, logistics infrastructure and attractiveness of future bid rounds, and measures to unlock the onshore petroleum potential.

“We are working to improve the attractiveness of the bid rounds, to develop the new gas market and to support Petrobras’ divestment plans, that will open space for other companies and create secondary market open to new players,” he said. Brazil has scheduled new bidding rounds for the next two years under concession and production, sharing agreements, and an ongoing bidding round process – the Open Agreage, which can be held any time. Mr. Kury has also addressed the downstream sector and has shown its importance to Brazil.

You can access the presentation in PDF here.

Author: Larissa Costa Slottet