Petrobras and Total have reached a US$2.2bn worth agreement, under the terms of which Petrobras will sell stakes in oilfields and two thermal power stations to Total.
Petrobras will receive US$1.6bn of cash in 60 days, US$400m that can be triggered later on to carry a part of Petrobras’s investment share in the Iara development fields and US$150m as contingent payments. At the moment, the company is trying to reduce its US$125bn debt.
Total will acquire 22.5% share in the Iara concession (comprising the Sururu, Berbigão and Oeste de Atapu fields). Petrobras will remain the operator with a 42.5% stake but will benefit from an investment reduction.
Petrobras will divest 35% stake to Total in the Lapa field concession as well as the operatorship. It keeps only a 10% stake. The Lapa field has begun production in December 2016 and from now on, Total is the new operator and will manage the next stages.
Total will obtain a 50% stake in Termobahia, comprised of 2 cogeneration plants (Rômulo de Almeida and Celso Furtado) in the Bahia region. Both of them are connected to a regasification terminal located in São Francisco do Conde. Total will use this regasification capacity to supply gas to the power plants.
This agreement is also subject to approval by the relevant authority. If it is approved, Total will enter the gas value chain and Total E&P will reinforce its position in Brazilian offshore through the acquisition of new fields.