**Petrobras and Shell Expand Offshore Presence in Brazil’s Pelotas Basin**
In a significant move to escalate its exploration and production activities in Brazil’s rich oil and gas reserves, Petrobras, the country’s state-owned oil and gas company, has partnered with global energy leader Shell to secure a substantial number of offshore blocks in the Pelotas Basin. This strategic partnership underscores the companies’ commitment to diversifying their portfolios and strengthening their foothold in Brazil’s deep and ultra-deep waters.
### Key Developments
1. **Concession Contracts**:
– **Number of Blocks**: Petrobras and Shell have collectively signed concession contracts for 26 blocks within the Pelotas Basin, located off the southern state of Rio Grande do Sul in Brazil.
– **Partnership Dynamics**: The partnership between Petrobras and Shell continues to flourish with Petrobras holding a 70% interest in these blocks while Shell retains the remaining 30% stake. This dynamic partnership reflects both companies’ long-term strategic alliances aimed at maximizing hydrocarbon exploration and production.
2. **Blocks Awarded**:
– The awarded blocks include:
– 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 part of the 165 deep-water areas put up for auction by the National Agency of Petroleum, Natural Gas and Biofuels (ANP) in Brazil’s 4th Permanent Concession Offer Cycle held in December 2023.
3. **Strategic Objectives**:
– The signing of these concession contracts aligns with Petrobras’ strategy to diversify its portfolio and reinforce its position as the primary operator of oil fields in deep and ultra-deep waters offshore Brazil.
– This move is also expected