We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Petrobras Signs Concession Contracts for Blocks in the Pelotas Basin
Read MoreHide Full Article
Petrobras S.A. (PBR - Free Report) , the Brazilian state-owned energy company, has inked 26 concession contracts in partnership with Shell plc (SHEL - Free Report) for several blocks in the Pelotas Basin. Per the terms of the agreement, Petrobras will become the operator of these blocks, holding a 70% stake. The remaining 30% stake will be held by Shell.
These contracts were awarded by the National Agency of Petroleum, Natural Gas and Biofuels (ANP) in December 2023. The contracts were made available in a public session conducted by the ANP under the fourth Permanent Concession Offer Cycle in Brazil.
The contract includes blocks like P-M-1277, P-M-1279, P-M-1281, P-M-1361, P-M-1363, P-M-1441, P-M-1443, P-M-1357, P-M-1359, P-M-1439, P-M-1516, P-M-1518, P-M-1595, P-M-1597, P-M-1793, P-M-1795, P-M-1838, P-M-1840, P-M-1520, P-M-1522, P-M-1599, P-M-1674, P-M-1676, P-M-1678, P-M-1743 and P-M-1799. These blocks are located in the Pelotas Basin, off the southern coast of Brazil.
Furthermore, PBR has secured three more blocks under the fourth Permanent Concession Offer Cycle in partnership with Shell and CNOOC. The contracts for these blocks will be signed later according to the ANP’s timetable.
Petrobras has highlighted that signing these contracts aligns with its overall strategy of diversifying its portfolio. Petrobras is known for its expertise in extracting oil and gas from fields located in deep and ultra-deep waters. By securing these new contracts, PBR further strengthens its position as an operator in deepwater and ultra-deepwater environments. These new blocks in the Pelotas Basin might also help the Brazilian energy firm discover new reserves to sustain its production in the future.
Zacks Rank and Key Picks
PBR and SHEL carry a Zacks Rank #3 (Hold) each at present.
MPLX LP owns and operates a wide range of midstream assets. The partnership's midstream assets include oil and natural gas gathering systems and transportation pipelines for crude, natural gas and refined petroleum products. MPLX is least exposed to commodity price fluctuations as it generates stable fee-based revenues. Furthermore, it surpasses its industry peers in terms of distribution yield, reflecting its commitment to returning capital to its unitholders.
VAALCO Energy is an independent energy company involved in upstream business operationswith a diversified presence in Africa and Canada. Having a large inventory of drilling locations in premium Canadian Acreage, the company’s production outlook seems bright.
See More Zacks Research for These Tickers
Pick one free report - opportunity may be withdrawn at any time
Image: Bigstock
Petrobras Signs Concession Contracts for Blocks in the Pelotas Basin
Petrobras S.A. (PBR - Free Report) , the Brazilian state-owned energy company, has inked 26 concession contracts in partnership with Shell plc (SHEL - Free Report) for several blocks in the Pelotas Basin. Per the terms of the agreement, Petrobras will become the operator of these blocks, holding a 70% stake. The remaining 30% stake will be held by Shell.
These contracts were awarded by the National Agency of Petroleum, Natural Gas and Biofuels (ANP) in December 2023. The contracts were made available in a public session conducted by the ANP under the fourth Permanent Concession Offer Cycle in Brazil.
The contract includes blocks like P-M-1277, P-M-1279, P-M-1281, P-M-1361, P-M-1363, P-M-1441, P-M-1443, P-M-1357, P-M-1359, P-M-1439, P-M-1516, P-M-1518, P-M-1595, P-M-1597, P-M-1793, P-M-1795, P-M-1838, P-M-1840, P-M-1520, P-M-1522, P-M-1599, P-M-1674, P-M-1676, P-M-1678, P-M-1743 and P-M-1799. These blocks are located in the Pelotas Basin, off the southern coast of Brazil.
Furthermore, PBR has secured three more blocks under the fourth Permanent Concession Offer Cycle in partnership with Shell and CNOOC. The contracts for these blocks will be signed later according to the ANP’s timetable.
Petrobras has highlighted that signing these contracts aligns with its overall strategy of diversifying its portfolio. Petrobras is known for its expertise in extracting oil and gas from fields located in deep and ultra-deep waters. By securing these new contracts, PBR further strengthens its position as an operator in deepwater and ultra-deepwater environments. These new blocks in the Pelotas Basin might also help the Brazilian energy firm discover new reserves to sustain its production in the future.
Zacks Rank and Key Picks
PBR and SHEL carry a Zacks Rank #3 (Hold) each at present.
Some better-ranked stocks in the energy sector are MPLX LP (MPLX - Free Report) and VAALCO Energy (EGY - Free Report) . MPLX presently sports a Zacks Rank #1 (Strong Buy), while VAALCO Energy carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
MPLX LP owns and operates a wide range of midstream assets. The partnership's midstream assets include oil and natural gas gathering systems and transportation pipelines for crude, natural gas and refined petroleum products. MPLX is least exposed to commodity price fluctuations as it generates stable fee-based revenues. Furthermore, it surpasses its industry peers in terms of distribution yield, reflecting its commitment to returning capital to its unitholders.
VAALCO Energy is an independent energy company involved in upstream business operationswith a diversified presence in Africa and Canada. Having a large inventory of drilling locations in premium Canadian Acreage, the company’s production outlook seems bright.