Petro Rio S A : EARNING RELEASE 2Q21

Earnings

Release

2Q21

2Q21 Conference Call

August 03, 2021

Portuguese 3 pm (BRA)

English

2 pm (NYC)

Webinar: click here

The link for the Webinar is also available on the Investor Relations website: ri.petroriosa.com.br/en/

The conference call will be held in Portuguese with simultaneous translation to English.

Investor Relations

www.petroriosa.com.br

[e-mail] [phone]

3T18

Rio de Janeiro, August 02, 2021 - Petro Rio S.A. ("PetroRio" or "Company") (B3: PRIO3) presents its results for the second quarter of 2021 ("2Q21"). The financial and operating information described below, except where otherwise indicated, is presented on a consolidated basis and in Reais (R$) in accordance with the international financial reporting standards (IFRS), and includes the Company's direct subsidiaries: Petro Rio O&G Exploração e Produção de Petróleo Ltda., Petro Rio Internacional SA, PetroRioUSA Inc., and their respective subsidiaries and affiliates.

HIGHLIGHTS FOR THE QUARTER

Net revenue of R$ 1 billion, the highest ever recorded

Net income (ex-IFRS 16) of R$ 305 million

Adjusted EBITDA (ex-IFRS 16) of R$ 643 million in the quarter (vs. R$ 175 million in 2Q20)

Approximately 2.8 million barrels sold and average production of 31 Mboepd

Approval of Frade Development Plan by ANP

Approval of the acquisition of interests in Wahoo and Itaipu by ANP

US$ 600 million bond issue, with 5x oversubscribed book

Completion of the tieback between Polvo and Tubarão Martelo

Lifting Cost (US$/bbl)	Production (bbl/d)

Cash Position (R$ MM)

Net Debt (Cash) / Adjusted EBITDA

| Page 2 |

3T18

MESSAGE FROM MANAGEMENT

"As in the last quarter, we completed the second quarter with new milestones, both for the Company and society as a whole. We see the worldwide immunization program gaining traction, saving lives, and being reflected in the global economic environment, taking Brent to levels over $70/barrel.

At PetroRio, we remain careful regarding COVID-19. The health and safety of our employees is a priority, and we are pleased to be able to say that in over a year of the pandemic, we have not had major impacts in our daily operations due to the virus. Likewise, we've maintained the physical and mental wellness initiatives for our teams.

The focus of the operations team was, certainly, the completion of the Tubarão Martelo and Polvo tieback, which took place in the first half of July. The team effort to complete this project, which took over a year and a half between its conception and conclusion, on time and below the originally budgeted cost, brought us pride and gratitude. This project will generate annual savings of $50 million for the Company, a crucial step in the cost reduction strategy we pursue to generate value for our shareholders.

Our teams' careful execution of the projects reinforces our confidence to face the next challenges, such as the drillings in Frade and Wahoo, which will start in 2022, with the recently announced contracting of NORBE VI rig.

On the acquisitions side, we recently obtained ANP approvals for the completion of the Wahoo and Itaipu transactions, consolidating PetroRio as the assets' operator, enabling the beginning of the necessary steps for declaration of commerciality, submission of the Development Plan and start of development.

Finally, we also extended the term of our financial debt with the issuance of $600 million in 5-year bonds, an international debt that, together with the follow-on carried out in 1Q21, strengthen PetroRio's access to capital markets. The issuance was of a higher volume than originally intended and at a lower rate, demonstrating the Company's execution capacity and risk mitigation.

We remain very excited about the Company's path and the global economic recovery in course, and we look forward to further developing the projects we have announced. We would like to thank our employees once again for their dedication and commitment, which enabled the milestones that the Company has achieved so far."

| Page 3 |

3T18

OPERATING PERFORMANCE

• As of February 5, 2021, PetroRio held 70% of the Operation in the Field. After the completion of the acquisition of a 30% stake in Petrobras in 1Q21, this percentage increased to 100%.

² With the completion of the tieback, on July 2021, PetroRio will be entitled to 95% of the oil produced by Polvo and Tubarão Martelo together.

As the main highlights of the quarter, the Company's total production increased 33% when compared to the same period in 2020. The increase is result of the acquisition of 80% of Tubarão Martelo Field, completed on August 03, 2020. The volume of barrels sold in the quarter increased 103% when compared to the same period of the previous year and 47% when compared to the last quarter.

In the second quarter of the year, the Company carried out five offtakes, three in April and two in June, totaling sales of approximately 2.8 million of barrels, with 995 thousand in Polvo Field, 1.5 million barrels in Frade and 312 thousand barrels in TBMT, with an average gross sales price of US$ 66.85.

The volume produced in Frade in the second quarter of 2021 was in line with the volume produced in the last quarter, with the increased interest in the Field, from 70% to 100%, partially offset by the 10-day scheduled shutdown carried out at the Frade FPSO between April and May.

In the Polvo Field, the quarter's production was 10% higher than the last quarter and had a 6% reduction compared to the same period in 2020. The POL-K drilling and start of production in May increased field productivity, which was negatively affected by production restriction in some wells, as a consequence of water processing problems at the Polvo FPSO, which was chartered to the field and operated by BW Offshore.

In Tubarão Martelo, production in 2Q21 was 14% lower than in 1Q21, impacted by the production downtime of TBMT- 8H well since March due to the failure of the electric submersible pump (ESP). The pump's workover is being carried out, after going through difficulties in the process of removing and laying the production column to carry out the pump replacement, and is expected to be completed in August. In addition, at the end of the month of June, there was a 7-day production downtime in Tubarão Martelo to carry out the necessary adjustments in the FPSO to complete one of the final stages of the tieback, also affecting the production average of the Field.

| Page 4 |

3T18

Since the beginning of the Company's turnaround, which consolidated its growth strategy through the acquisition and development of producing assets, PetroRio has worked to increase its production levels and rationalize its costs, always maintaining the highest levels of excellence in environmental responsibility, safety and operational efficiency. PetroRio believes that the best protection against Brent's volatility is the reduction of its lifting cost and this will continue to be a pillar of current and future projects. Below, the Company presents the evolution of its lifting cost since the beginning of 2017.

Lifting Cost PetroRio

(Em US$/boe)

Lifting cost in 2Q21 was negatively impacted by the shutdown of TBMT-8H well and by the scheduled shutdowns in Frade and Tubarão Martelo, in May and June, respectively. On the other hand, the beginning of the production of the POL-K in Polvo and the reduction of some operating costs in Polvo and TBMT positively impacted the lifting cost, offsetting the reduction in production and reducing this indicator, when compared to 1Q21.

PetroRio will continue with its lifting cost reduction strategy over the next few months, through the Tubarão Martelo Field tieback to the Polvo Field, completed on July 2021. The project will enable an operating cost reduction ("OPEX") of US$ 50 million per year, consequently reducing the Company's lifting cost.

'

PSLV (Pipe Laying Support Vessel), vessel responsible for connecting Polvo wells with Bravo FPSO