1. Homepage
  2. Equities
  3. Hong Kong
  4. Hong Kong Stock Exchange
  5. CNOOC Limited
  6. News
  7. Summary
    883   HK0883013259


Delayed Hong Kong Stock Exchange  -  03:37 2022-06-30 am EDT
10.38 HKD   -0.57%
01:36aCNOOC to Boost New-Energy Investments to Achieve Carbon Neutrality by 2050
06/28China Slashes Retail Fuel Prices From Wednesday
06/22Brazil's Petrobras buys first cargo of Guyanese crude for refining
SummaryMost relevantAll NewsAnalyst Reco.Other languagesPress ReleasesOfficial PublicationsSector newsMarketScreener Strategies

Brazil's government-owned oil sales to climb sharply, official says

05/05/2022 | 10:30am EDT
FILE PHOTO: A worker walks inside the Brazil's Petrobras P-66 oil rig in the offshore Santos Basin in Rio de Janeiro

HOUSTON (Reuters) - Brazil's direct sales of crude will more than double this year and rise sharply this decade, as oil majors deliver more of their output to the government under production sharing agreements, according to a state official.

Government-owned volumes, until now nearly irrelevant, are ramping up and will reach 1.127 million barrels per day (bpd) by 2031, according to Eduardo Gerk, head of Pré-Sal Petróleo SA (PPSA), the state-run company that oversees the country's production-sharing contracts.

"Our scale of magnitude has started to change," he said on the sidelines of the Offshore Technology Conference (OTC) in Houston.

PPSA was created in 2013 to manage Brazil's stake in the vast pre-salt oil discoveries found off its coast.

The state's share of the oil comes from fields run by Shell Plc, TotalEnergies SA as well as state-controlled oil producer Petrobras. They are newly delivering higher volumes under production sharing regulation the country inaugurated last decade.

PPSA has sold all of the 9.5 million barrels it expects to receive from commitments this year, in 19 shipments delivered to Petrobras. And as new wells go on stream, annual volumes should jump to 411 million barrels of oil in 2031, Gerk said.

Petrobras thus far has bought all of PPSA's allotted oil through competitive auctions in two-to-three year contracts, outbidding Shell, Total, Portugal's Galp and Chinese producers.

Future auctions will likely be held through Brazil's stock exchange operator B3, Gerk said, that will handle government-owned production that should average 95,000 bpd in 2024, he said.

However, hiring a trading firm to market the oil also is a possibility, Gerk said.

"We will have to review market conditions then," he said.

The next big slug of Brazil's oil to be sold will come in mid-2024, when Petrobras contracts from its massive Buzios and Mero fields start to expire, Gerk said. Future production from Sepia, Atapu, Itapu and Bacalhau fields also is yet to be marketed, he said.

Brazil produces about 3 million bpd of crude today, with the government stake responding for less than 1% of the total. The government stake is projected to rise to about 20% of the country's total production in 2031, when total country production is estimated at more than 5 million barrels per day of crude, Gerk said.

The government's oil volumes include a stake of the Mero deepwater field, where consortia among Brazil's Petrobras, Shell and China's CNOOC and CNPC on Monday started production. The group's platform is designed to pump up to 180,000 bpd of crude.

(Reporting by Sabrina Valle; Editing by Alexandra Hudson)

By Sabrina Valle

© Reuters 2022
Stocks mentioned in the article
ChangeLast1st jan.
B3 S.A. - BRASIL, BOLSA, BALCÃO -2.84% 10.95 Delayed Quote.1.17%
CNOOC LIMITED -0.77% 10.38 Delayed Quote.30.01%
EURO / BRAZILIAN REAL (EUR/BRL) 0.11% 5.436 Delayed Quote.-12.61%
LONDON BRENT OIL -2.69% 112.46 Delayed Quote.51.70%
PETROBRAS -0.88% 28.08 Delayed Quote.-1.30%
S&P GSCI PETROLEUM INDEX -1.03% 412.4813 Real-time Quote.54.84%
SHELL PLC -1.67% 2149.5 Delayed Quote.34.88%
TOTALENERGIES SE -1.02% 50.38 Real-time Quote.14.18%
WTI 0.07% 109.697 Delayed Quote.46.36%
All news about CNOOC LIMITED
01:36aCNOOC to Boost New-Energy Investments to Achieve Carbon Neutrality by 2050
06/28China Slashes Retail Fuel Prices From Wednesday
06/22Brazil's Petrobras buys first cargo of Guyanese crude for refining
06/15CNOOC Completes China’s First Offshore Carbon Capture Project
06/14China's CNOOC completes first offshore carbon capture site
06/14China Raises Retail Fuel Prices From Wednesday
06/09Hong Kong Stocks Retreat from Two-Month High; CNOOC Gains as Oil Prices Rise
06/09CNOOC LIMITED : Ex-dividend day for extraordinary dividend
06/03PetroChina Parent to Shift Half of Output to Clean Energy by 2050
05/30China Raises Retail Fuel Prices From Tuesday
More news
Analyst Recommendations on CNOOC LIMITED
More recommendations
Sales 2022 353 B 52 705 M 52 705 M
Net income 2022 116 B 17 368 M 17 368 M
Net Debt 2022 102 B 15 276 M 15 276 M
P/E ratio 2022 3,55x
Yield 2022 10,8%
Capitalization 425 B 63 382 M 63 382 M
EV / Sales 2022 1,49x
EV / Sales 2023 1,39x
Nbr of Employees 18 887
Free-Float 34,8%
Duration : Period :
CNOOC Limited Technical Analysis Chart | MarketScreener
Full-screen chart
Technical analysis trends CNOOC LIMITED
Short TermMid-TermLong Term
Income Statement Evolution
Mean consensus BUY
Number of Analysts 20
Last Close Price 8,92 CNY
Average target price 12,07 CNY
Spread / Average Target 35,4%
EPS Revisions
Managers and Directors
Xin Huai Zhou Chief Executive Officer & Executive Director
Qing Long Xia President & Executive Director
Wei Zhi Xie Chief Financial Officer
Dong Jin Wang Chairman
Xiaonan Wu Joint Secretary & Compliance Officer
Sector and Competitors
1st jan.Capi. (M$)
CNOOC LIMITED30.01%63 382
EOG RESOURCES, INC.27.46%69 296