Brazil’s state-run oil company Petrobras has launched the binding phase of the sale of 41 onshore oil concessions in the coastal states of Bahia and Espirito Santo, according to securities filings on Sept. 6.
Petrobras will sell 100% of 27 E&P concessions in the so-called Polo Cricare area in Espirito Santo, the company said. The fields produced 2,800 barrels per day (bbl/d) of oil and 11,000 cubic meters per day of natural gas on average in 2018.
In Bahia, the oil company will sell its 14 concessions in the Polo Reconcavo area, where it owns a 100% share in all but two of the blocks, Petrobras said. The concessions recorded average production of 2,800 bbl/d of oil and 588,000 cubic meters per day of natural gas in 2018.
The companies also pledged a minimum level of investment in the areas, all of which either failed to receive bids in previous auctions or were returned to the state after unsuccessful exploration.
Egypt expects investments of at least $750 million to $800 million in the first stage of exploration in the 12 concessions, Petroleum Minister Tarek El Molla said during a press conference.
Despite a promise in his inauguration speech to roll back the energy reform, the 65-year-old president did not rule out inviting more private sector investment in extracting oil from Mexico's untapped deepwater fields in the Gulf of Mexico.