Brazil’s Petrobras picks PetroRio group as top bidder for Albacora -sources

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Oct 7 (Businesshala) – Brazil’s state oil giant Petrobras has selected Petrorio SA and Cobra, a subsidiary of France’s Vinci SA, as top bidders for the Albacora offshore oil field, four people with knowledge of the matter said.

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The Petrório-Cobra bid tops a competing proposal put forward by a consortium made up of private equity firm EIG Global Energy Partners along with Brazil’s Enauta Partisipcos SA and 3R Petroleum Oleo E Gas SA, who interviewed to discuss confidential matters. Anonymity was requested. Wednesday.

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The two associations also submitted proposals for the neighboring Albacora Leste oil field, Businesshala reported in August. The exact value of the bids was unclear, although Petrobras, formally known as Petroleo Brasileiro SA, said in late September that “there could be more than $4 billion for both sectors”.

Petrobras is currently selling dozens of assets to reduce debt and focus its attention on a prolific, offshore oil-producing region known as the “pre-salt” sector.

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When the company began the sale process in 2020, Albacora produced 43,000 barrels of oil equivalent per day (BOEPD), according to documents released by Petrobras. Albacora Leste produced 34,000 boepds at that time.

Sources said Petrobras is now expected to enter into bilateral talks for the Albacora field with a consortium led by independent oil producer Petrorio.

However, Petrobras has decided to re-bid for Albacora Leste, people with knowledge of the matter said on Wednesday, effectively spoiling the results of the original bidding round for that region.

Businesshala was not able to determine the reasons for the re-bid. Petrobras previously conducted new bidding rounds for assets when the offers submitted in the original round were very similar in value.

3R and EIG declined to comment. Neither party immediately responded to a request for comment. (Reporting by Gram Slattery and Carolina Mandal; Additional reporting by Marta Nogueira; Editing by Kenneth Maxwell)

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