Petro-Victory Energy is growing its footprint in Brazil’s onshore Potiguar Basin through M&A. (Source: Shutterstock.com)
Petro-Victory Energy, in a 50-50 partnership with Azevedo & Travassos Petroleo (ATP), has acquired 13 onshore oil fields in Brazil.
The oil fields, comprising 38,301 acres, are within the Potiguar Basin in Brazil’s Rio Grande do Norte state, the companies said Feb. 10.
The total acquisition value was US$15 million, or $7.5 million net to both Petro-Victory and ATP. The assets were acquired from subsidiaries of Brava Energia SA.
The acquired assets are strategically located adjacent to Petro-Victory’s existing footprint in the Potiguar Basin. Current output averages 250 bbl/d of oil. Petro-Victory has a work program in place “to significantly increase oil production.”
Brazil’s National Agency of Petroleum has reported 125 MMbbl of recoverable oil in place, Petro-Victory said.
““This acquisition marks a transformative milestone for Petro-Victory, significantly enhancing our oil production capacity and increasing our proven reserves,” said Petro-Victory CEO Richard Gonzalez. “We expect the updated reserve report will increase our proven reserves by 50%.”
Petro-Victory currently has three producing oil fields and 34 exploration blocks within the Potiguar Basin.
The transaction also included tanks, pumps, flow lines, power lines and other related field infrastructure.
The deal is expected to close in the second half of 2025.
RELATED
Recommended Reading
Hirs: Investing for 2025—Growth by Acquisition
2025-01-29 - Fundamentals will push against increased production and a buyers’ market will rule.
Shale Consolidation Aftermath: The Field Narrows
2025-01-13 - Widespread consolidation has reshaped the list of top public producers, says Enverus CEO Manuj Nikhanj.
Shale Outlook Uinta: Horizontal Boom to Continue in 2025
2025-01-11 - After two large-scale transactions by SM Energy and Ovintiv, the Uinta Basin is ready for development—and stacked pay exploration.
Ovintiv Closes $2B Uinta Sale to FourPoint Resources
2025-01-22 - Ovintiv is exiting Utah’s Uinta Basin in a $2 billion sale to FourPoint Resources, which will take over some of the play’s highest quality acreage.
Chord Drills First 4-Mile Bakken Well, Eyes Non-Op Marcellus Sale
2025-02-28 - Chord Energy drilled and completed its first 4-mile Bakken well and plans to drill more this year. Chord is also considering a sale of non-op Marcellus interests in northeast Pennsylvania.
Comments
Add new comment
This conversation is moderated according to Hart Energy community rules. Please read the rules before joining the discussion. If you’re experiencing any technical problems, please contact our customer care team.