Fourteen companies have been officially approved by Brazilian authorities to participate in an oil bidding round in November, in which total signing bonuses are expected to be the biggest so far, exceeding $25 billion, national oil regulator ANP said on Sept 30.
As widely expected, the companies participating include a broad swath of global oil majors.
In addition to Brazilian state-run oil firm Petrobras, authorities have approved the Brazilian units of BP Plc; Chevron Corp.; China National Oil and Gas Exploration and Development Co., a unit of China National Petroleum Corp.; China National Offshore Oil Corp.; Ecopetrol SA; Equinor ASA; and Exxon Mobil Corp.
The list also includes Galp Energia SGPS SA, Petronas Dagangan Berhad, Qatar Petroleum, Royal Dutch Shell Plc, Total SA and Wintershall Dea GmbH.
The so-called transfer-of-rights auction is scheduled for Nov. 6 and concerns a zone of Brazil’s southeastern coast. Petrobras has already done significant exploratory work in the zone, boosting the area’s value, as they are largely devoid of exploratory risk.
Another offshore oil bidding round—much smaller but still sizeable by historical standards—will be held in Brazil the following day.
Broussard previously spent four years working for Schlumberger and held a number of management positions with Baker Hughes over an 11-year period, latterly as regional operations manager for lower completions in the Gulf of Mexico.
Oil and gas companies should carefully review their contingent consideration and earnout provisions in purchase and sale agreements and be prepared for the reporting and valuation challenges that come with them.
Oil output at controversial assets to increase even as government seeks to cut emissions, Canada’s natural resources minister says.