Petrobras' oil and gas production rose by 5.4% in 2019 (Brazil)

Brazil's national oil and gas company Petrobras has released its 2019 results, posting a 5.4% increase in its global hydrocarbon production in 2019, to an average of 2,770 kboe/d. Crude oil production in Brazil rose by 6.7% to an average of 2,172 kb/d, spurred by a 28.5% surge in pre-salt production (up to 1,277 kb/d) that offset a decline in oil production from post-salt areas (-14% to 704 kb/d), onshore areas (-8.1% to 124 kb/d) and shallow waters (-27% to 66 kb/d). Gas production in Brazil rose by 4.9% to 516 kboe/d on average in 2019, while oil and gas production outside Brazil contracted by 19% to 82 kboe/d.

The soaring pre-salt production was mainly linked to the increase in production in the Búzios - one of the largest offshore deep-water oil fields in the world - and Lula fields (ramp-up of the P-67 and P-69 production systems during 2019 and start of P-68 in November 2019). In 2019, pre-salt oil production accounted for more than half of total oil production in Brazil (59%, up from 49% in 2018). This higher production contributed to raise crude oil exports by 24% in 2019 to 735 kb/d.

At the end of 2019, Petrobras held 9,590 mboe in proven reserves (SEC criterion), not including reserves from the Itapu and Búzios assets acquired in the Transfer of Rights Surplus auction in November 2019; the R/P ratio averaged 10.5 years in 2019.

In the refining segment, the refinery utilisation factor slightly progressed (from 76% to 77%) and production grew by 0.8% to 1,779 kb/d. Sales declined by 2.9% to 1,754 kb/d, due to a higher market share of importers. Petrobras' gas imports fell by 19% to 18 mcm/d and its sales of gas dipped by 1.4% tp 75 mcm/d.