Firjan Petroleum - October 2019

Firjan PETROLEUM 13 EXPLORATION AND PRODUCTION With a portfolio of 20 assets located in seven offshore Brazilian basins - including the Campos and Santos basins, both located in part off the coast of the state of Rio de Janeiro - Total E&P also welcomes the program. The multinational expects to invest about US$ 1 billion per year in its oil exploration and production (E&P) activities in the country in the coming years. “In addition to the E&P market, we believe there is room for new business in the country, including natural gas and renewable energy, especially in a global energy transition scenario. The recent regulatory advances proposed in the program are fundamental to the opening and development of the domestic market,” says Philippe Blanchard, current president of Total E&P do Brasil. He notes, on the other hand, that the convergence of federal and state regulations is a point of attention for projects to be competitive: “The state of Rio has a lot to contribute to the national energy market, and a possible resumption of the Rio Capital of Energy program could be positive, representing another way to boost the business environment and to help diversifying the inflow of new investments, placing Rio beyond the Oil and Gas chain.” Equinor, the largest international operator per volume, due to the Peregrino field in the Campos basin, also expects more investment in the coming years. “We have already invested US$ 10 billion in Brazil and plan to invest another US$ 15 billion by 2030 in oil and gas projects,” says Verônica Coelho, vice president of Development and Production of the operator in the country. The company will begin phase 2 of Peregrino, where a third platform will be installed, expected to operate by the end of 2020. Peregrino C, in turn, will generate approximately 200 direct long-term offshore jobs, with indirect effects on land. Eduardo Eugenio Gouvêa Vieira, president of Firjan, evaluates as positive the willingness of the new state management. “In addition to exploration and production, we have other opportunities in the natural gas market, which is produced associated with oil in the state. This market of countless opportunities must be considered Rio de Janeiro’s great asset for development,” he says. He reinforces that the country has great untapped potential, and the biggest discoveries are in Rio de Janeiro waters.