RIO DE JANEIRO – PetroRio S.A. has signed a purchase and sale agreement worth $25 million with Petrobras to acquire 20% of the concession contracts for the Bijupirá and Salema (BJSA) fields. Following the transaction’s close, the company will operate and own the entirety of the fields following its January agreement with Shell Brasil Petróleo Ltda. to acquire 80% of the BJSA concession contracts.
Prior to the transaction, Shell operated the two fields, located in the Campos basin in water depths between 480 m (1,574 ft) and 850 m (2,788 ft). Production averages 22,000 b/d and 325,000 cm/d of (11.5 MMcf/d) associated gas, equivalent to 24,000 boe/d. The oil extracted from the fields is light oil (from 28º to 31º API).
The BJSA fields are located about 80 km (50 mi) northeast of the Polvo field, PetroRio’s production asset.
The total transaction price is subject to adjustments, and payable in cash. Of this amount, 20% will be paid with the PetroRio’s own funds and 80% will be funded through structured finance facilities. This transaction includes the 20% stake held by Petrobras in the BJSA fields and equipment related to their operation.
The conclusion of the purchase and sale transaction between PetroRio and Petrobras is subject to certain conditions precedent, including approval of the assignment of rights by Brazil’s Council for Economic Defense and the National Agency of Petroleum, Natural Gas and Biofuels.
Petrobras said that the operation is part of its Divestment Plan related to the portfolio optimization in the exploration and production area, and is aligned with the 2015-2019 Business and Management Plan.