At June 30, 2022 and report on review of Quarterly Information
(A free translation of the original in Portuguese)
INDEX
PETROBRAS
Parent Company Interim Accounting Information / Statement of Financial Position - Assets | 3 |
Parent Company Interim Accounting Information / Statement of Financial Position - Liabilities | 4 |
Parent Company Interim Accounting Information / Statement of Income | 5 |
Parent Company Interim Accounting Information / Statement of Comprehensive Income | 6 |
Parent Company Interim Accounting Information / Statement of Changes in Shareholders' Equity - 01/01/2022 to 06/30/2022 | 7 |
Parent Company Interim Accounting Information / Statement of Changes in Shareholders' Equity - 01/01/2021 to 06/30/2021 | 8 |
Parent Company Interim Accounting Information / Statement of Cash Flows - Indirect Method | 9 |
Parent Company Interim Accounting Information / Statement of Added Value | 10 |
Consolidated Interim Accounting Information / Statement of Financial Position - Assets | 11 |
Consolidated Interim Accounting Information / Statement of Financial Position - Liabilities | 12 |
Consolidated Interim Accounting Information / Statement of Income | 13 |
Consolidated Interim Accounting Information / Statement of Comprehensive Income | 14 |
Consolidated Interim Accounting Information / Statement of Changes in Shareholders' Equity - 01/01/2022 to 06/30/2022 | 15 |
Consolidated Interim Accounting Information / Statement of Changes in Shareholders' Equity - 01/01/2021 to 06/30/2021 | 16 |
Consolidated Interim Accounting Information / Statement of Cash Flows - Indirect Method (R$ Thousand) | 17 |
Consolidated Interim Accounting Information / Statement of Added Value | 18 |
1.Basis of preparation | 19 |
2.Summary of significant accounting policies | 19 |
3.Cash and cash equivalents and Marketable securities | 19 |
4.Sales revenues | 21 |
5.Costs and expenses by nature | 21 |
6.Other income and expenses | 22 |
7.Net finance income (expense) | 22 |
8.Net income by operating segment | 23 |
9.Trade and other receivables | 25 |
10.Inventories | 26 |
11.Taxes | 27 |
12.Employee benefits | 29 |
13.Provisions for legal proceedings | 34 |
14.Provision for decommissioning costs | 37 |
15.Property, plant and equipment | 38 |
16Intangible assets | 40 |
17Impairment | 42 |
18Exploration and evaluation of oil and gas reserves | 43 |
19Collateral for crude oil exploration concession agreements | 44 |
20Investments | 44 |
21Assets by operating segment | 45 |
22Disposal of assets and other changes in organizational structure | 45 |
23Finance debt | 49 |
24Lease liabilities | 52 |
25Equity | 53 |
26Fair value of financial assets and liabilities | 55 |
27Risk management | 55 |
28Related-party transactions | 60 |
29Supplemental information on statement of cash flows | 63 |
30Subsequent events | 63 |
31.Correlation between the explanatory notes of December 31, 2021 and the ones of June 30, 2022 | 66 |
Statement of Directors on Interim Accounting Information and Report on the Review of Quarterly Information | 67 |
Independent Auditors' Report | 67 |
2 |
Petróleo Brasileiro S.A. - Petrobras Parent Company Interim Accounting Information / Statement of Financial Position - Assets (R$ Thousand) | |
Account Code | Account Description | 06.30.2022 | 12.31.2021 |
1 | Total Assets | 1,257,122,000 | 1,248,196,000 |
1.01 | Current Assets | 211,355,000 | 170,555,000 |
1.01.01 | Cash and Cash Equivalents | 2,554,000 | 2,930,000 |
1.01.02 | Marketable Securities | 3,856,000 | 3,630,000 |
1.01.03 | Trade and Other Receivables | 113,027,000 | 100,110,000 |
1.01.04 | Inventories | 44,553,000 | 33,906,000 |
1.01.06 | Recoverable Taxes | 5,957,000 | 6,368,000 |
1.01.06.01 | Current Recoverable Taxes | 5,957,000 | 6,368,000 |
1.01.06.01.01 | Recoverable Income Taxes | 567,000 | 526,000 |
1.01.06.01.02 | Other Recoverable Taxes | 5,390,000 | 5,842,000 |
1.01.08 | Other Current Assets | 41,408,000 | 23,611,000 |
1.01.08.01 | Non-Current Assets Held for Sale | 29,067,000 | 13,142,000 |
1.01.08.03 | Others | 12,341,000 | 10,469,000 |
1.01.08.03.03 | Others | 12,341,000 | 10,469,000 |
1.02 | Non-Current Assets | 1,045,767,000 | 1,077,641,000 |
1.02.01 | Long-Term Receivables | 80,708,000 | 73,779,000 |
1.02.01.03 | Marketable Securities Measured at Amortized Cost | 257,000 | 247,000 |
1.02.01.04 | Trade and Other Receivables | 8,762,000 | 8,450,000 |
1.02.01.07 | Deferred Taxes | 18,660,000 | 17,845,000 |
1.02.01.07.02 | Deferred Taxes and Contributions | 18,660,000 | 17,845,000 |
1.02.01.10 | Other Non-Current Assets | 53,029,000 | 47,237,000 |
1.02.01.10.04 | Judicial Deposits | 50,463,000 | 44,543,000 |
1.02.01.10.05 | Other Assets | 2,566,000 | 2,694,000 |
1.02.02 | Investments | 264,052,000 | 269,825,000 |
1.02.03 | Property, Plant and Equipment | 684,117,000 | 717,355,000 |
1.02.04 | Intangible Assets | 16,890,000 | 16,682,000 |
3 |
Petróleo Brasileiro S.A. - Petrobras Parent Company Interim Accounting Information / Statement of Financial Position - Liabilities (R$ Thousand) | |
Account Code | Account Description | 06.30.2022 | 12.31.2021 |
2 | Total Liabilities | 1,257,122,000 | 1,248,196,000 |
2.01 | Current Liabilities | 301,107,000 | 269,989,000 |
2.01.01 | Payroll, Profit Sharing and Related Charges | 6,216,000 | 7,655,000 |
2.01.02 | Trade Payables | 31,690,000 | 32,734,000 |
2.01.03 | Taxes Obligations | 7,952,000 | 3,599,000 |
2.01.03.01 | Federal Taxes Obligations | 7,952,000 | 3,599,000 |
2.01.03.01.01 | Income Tax and Social Contribution Payable | 7,952,000 | 3,599,000 |
2.01.04 | Current Debt and Finance Lease Obligations | 181,866,000 | 187,005,000 |
2.01.04.01 | Current Debt | 153,523,000 | 155,461,000 |
2.01.04.03 | Lease Obligations | 28,343,000 | 31,544,000 |
2.01.05 | Other Liabilities | 60,304,000 | 30,767,000 |
2.01.05.02 | Others | 60,304,000 | 30,767,000 |
2.01.05.02.01 | Dividends and Interest on Capital Payable | 24,233,000 | 0 |
2.01.05.02.04 | Other Taxes Payable | 19,389,000 | 22,022,000 |
2.01.05.02.06 | Other liabilities | 16,682,000 | 8,745,000 |
2.01.06 | Provisions | 3,696,000 | 3,578,000 |
2.01.06.02 | Other Provisions | 3,696,000 | 3,578,000 |
2.01.06.02.04 | Pension and Medical Benefits | 3,696,000 | 3,578,000 |
2.01.07 | Liabilities Associated with Non-Current Assets Held for Sale and Discontinued | 9,383,000 | 4,651,000 |
2.01.07.01 | Liabilities Associated with Non-Current Assets Held for Sale | 9,383,000 | 4,651,000 |
2.02 | Non-Current Liabilities | 545,470,000 | 590,878,000 |
2.02.01 | Non-Current Debt and Finance Lease Obligations | 351,462,000 | 413,637,000 |
2.02.01.01 | Non-Current Debt | 253,443,000 | 306,944,000 |
2.02.01.03 | Lease Obligations | 98,019,000 | 106,693,000 |
2.02.02 | Other Liabilities | 1,585,000 | 1,637,000 |
2.02.02.02 | Others | 1,585,000 | 1,637,000 |
2.02.02.02.03 | Income Tax and Social Contribution | 1,585,000 | 1,637,000 |
2.02.03 | Deferred Taxes | 44,146,000 | 14,807,000 |
2.02.03.01 | Deferred Taxes | 44,146,000 | 14,807,000 |
2.02.04 | Provisions | 148,277,000 | 160,797,000 |
2.02.04.01 | Provisions for Tax Social Security, Labor and Civil Lawsuits | 11,990,000 | 10,382,000 |
2.02.04.02 | Other Provisions | 136,287,000 | 150,415,000 |
2.02.04.02.04 | Pension and Medical Benefits | 45,082,000 | 50,773,000 |
2.02.04.02.05 | Provision for Decommissioning Costs | 80,567,000 | 86,713,000 |
2.02.04.02.06 | Employee Benefits | 532,000 | 803,000 |
2.02.04.02.07 | Other liabilities | 10,106,000 | 12,126,000 |
2.03 | Shareholders' Equity | 410,545,000 | 387,329,000 |
2.03.01 | Share Capital | 205,432,000 | 205,432,000 |
2.03.02 | Capital Reserves | 3,318,000 | 3,313,000 |
2.03.04 | Profit Reserves | 177,039,000 | 164,028,000 |
2.03.08 | Other Comprehensive Income | 24,756,000 | 14,556,000 |
4 |
Petróleo Brasileiro S.A. - Petrobras Parent Company Interim Accounting Information / Statement of Income (R$ Thousand) | |
Account Code | Account Description | Accumulated of the Current Quarter 04/01/2022 to 06/30/2022 | Accumulated of the Current Year 01/01/2022 to 06/30/2022 | Accumulated of the Previous Quarter 04/01/2021 to 06/30/2021 | Accumulated of the Previous Year 01/01/2021 to 06/30/2021 |
3.01 | Sales Revenues | 162,738,000 | 297,186,000 | 106,044,000 | 194,860,000 |
3.02 | Cost of Sales | -71,069,000 | -136,906,000 | -54,170,000 | -100,200,000 |
3.03 | Gross Profit | 91,669,000 | 160,280,000 | 51,874,000 | 94,660,000 |
3.04 | Operating Expenses / Income | 5,689,000 | 2,579,000 | -3,858,000 | -11,710,000 |
3.04.01 | Selling Expenses | -7,121,000 | -13,638,000 | -6,116,000 | -11,531,000 |
3.04.02 | General and Administrative Expenses | -1,277,000 | -2,519,000 | -1,048,000 | -2,268,000 |
3.04.05 | Other Operating Expenses | 8,842,000 | 6,278,000 | -3,021,000 | -7,133,000 |
3.04.05.01 | Other Taxes | -396,000 | -667,000 | -194,000 | -662,000 |
3.04.05.02 | Research and Development Expenses | -1,080,000 | -2,161,000 | -775,000 | -1,414,000 |
3.04.05.03 | Exploration Costs | 73,000 | -333,000 | -999,000 | -2,192,000 |
3.04.05.05 | Other Operating Expenses, Net | 11,052,000 | 10,236,000 | -556,000 | -1,679,000 |
3.04.05.07 | Impairment of Assets / Reversals (Charges) | -807,000 | -797,000 | -497,000 | -1,186,000 |
3.04.06 | Share of Profit / Gains on Interest in Equity-Accounted Investments | 5,245,000 | 12,458,000 | 6,327,000 | 9,222,000 |
3.05 | Net Income Before Financial Results and Income Taxes | 97,358,000 | 162,859,000 | 48,016,000 | 82,950,000 |
3.06 | Finance Income (Expenses), Net | -18,180,000 | -16,819,000 | 13,927,000 | -18,549,000 |
3.06.01 | Finance Income | 3,123,000 | 4,754,000 | 722,000 | 1,189,000 |
3.06.01.01 | Finance Income | 3,123,000 | 4,754,000 | 722,000 | 1,189,000 |
3.06.02 | Finance Expenses | -21,303,000 | -21,573,000 | 13,205,000 | -19,738,000 |
3.06.02.01 | Finance Expenses | -6,694,000 | -13,435,000 | -7,535,000 | -15,190,000 |
3.06.02.02 | Foreign Exchange and Inflation Indexation Charges, Net | -14,609,000 | -8,138,000 | 20,740,000 | -4,548,000 |
3.07 | Net Income Before Income Taxes | 79,178,000 | 146,040,000 | 61,943,000 | 64,401,000 |
3.08 | Income Tax and Social Contribution | -24,848,000 | -47,149,000 | -19,088,000 | -20,379,000 |
3.08.01 | Current | -24,639,000 | -37,153,000 | 0 | 0 |
3.08.02 | Deferred | -209,000 | -9,996,000 | -19,088,000 | -20,379,000 |
3.09 | Net Income from Continuing Operations | 54,330,000 | 98,891,000 | 42,855,000 | 44,022,000 |
3.11 | Income / (Loss) for the Period | 54,330,000 | 98,891,000 | 42,855,000 | 44,022,000 |
3.99.01 | Income per Share | ||||
3.99.01.01 | Ordinary Shares | 4,16 | 7,58 | 3,28 | 3,37 |
3.99.01.02 | Preferred Shares | 4,16 | 7,58 | 3,28 | 3,37 |
3.99.02 | Diluted Income per Share | ||||
3.99.02.01 | Ordinary Shares | 4,16 | 7,58 | 3,28 | 3,37 |
3.99.02.02 | Preferred Shares | 4,16 | 7,58 | 3,28 | 3,37 |
5 |
Petróleo Brasileiro S.A. - Petrobras Parent Company Interim Accounting Information / Statement of Comprehensive Income (R$ Thousand) | |
Account Code | Account Description | Accumulated of the Current Quarter 04/01/2022 to 06/30/2022 | Accumulated of the Current Year 01/01/2022 to 06/30/2022 | Accumulated of the Previous Quarter 04/01/2021 to 06/30/2021 | Accumulated of the Previous Year 01/01/2021 to 06/30/2021 |
4.01 | Net Income for the Period | 54,330,000 | 98,891,000 | 42,855,000 | 44,022,000 |
4.02 | Other Comprehensive Income | 7,896,000 | 10,200,000 | 5,663,000 | 13,197,000 |
4.02.01 | Actuarial Gains / (Losses) on Defined Benefits Plans | 0 | 0 | 8,654,000 | 8,654,000 |
4.02.02 | Deferred Income Tax and Social Contribution on Actuarial Gains / (Losses) on Defined Benefits Plans | 0 | 0 | -2,942,000 | -2,942,000 |
4.02.03 | Translation Adjustments in Investees | 26,222,000 | -17,074,000 | -33,773,000 | -9,488,000 |
4.02.07 | Unrealized Gains / (Losses) on Cash Flow Hedge - Recognized in Shareholders' Equity | -32,407,000 | 27,501,000 | 42,714,000 | 12,193,000 |
4.02.08 | Unrealized Gains / (Losses) on Cash Flow Hedge - Reclassified to Profit and Loss | 5,155,000 | 12,376,000 | 6,331,000 | 12,234,000 |
4.02.09 | Deferred Income Tax and Social Contribution on Cash Flow Hedge | 9,266,000 | -13,558,000 | -16,675,000 | -8,305,000 |
4.02.10 | Share of Other Comprehensive Income of Equity-Accounted Investments | -340,000 | 955,000 | 1,354,000 | 851,000 |
4.03 | Total Comprehensive Income for the Period | 62,226,000 | 109,091,000 | 48,518,000 | 57,219,000 |
6 |
Petróleo Brasileiro S.A. - Petrobras Parent Company Interim Accounting Information / Statement of Changes in Shareholders' Equity - 01/01/2022 to 06/30/2022 (R$ Thousand) | |
Account Code | Account Description | Share Capital | Capital Reserves, Granted Options and Treasury Shares | Profit Reserves | Retained Earnings / Accumulated Losses | Other Comprehensive Income | Shareholders' Equity |
5.01 | Balance at the Beginning of the Period | 205,432,000 | 3,313,000 | 164,028,000 | 0 | 14,556,000 | 387,329,000 |
5.03 | Adjusted Opening Balance | 205,432,000 | 3,313,000 | 164,028,000 | 0 | 14,556,000 | 387,329,000 |
5.04 | Capital Transactions with Owners | 0 | 5,000 | -44,842,000 | -41,038,000 | 0 | -85,875,000 |
5.04.06 | Dividends | 0 | 0 | -44,842,000 | -41,038,000 | 0 | -85,880,000 |
5.04.08 | Change in Interest in Subsidiaries | 0 | 5,000 | 0 | 0 | 0 | 5,000 |
5.05 | Total of Comprehensive Income | 0 | 0 | 0 | 98,891,000 | 10,200,000 | 109,091,000 |
5.05.01 | Net Income for the Period | 0 | 0 | 0 | 98,891,000 | 0 | 98,891,000 |
5.05.02 | Other Comprehensive Income | 0 | 0 | 0 | 0 | 10,200,000 | 10,200,000 |
5.07 | Balance at the End of the Period | 205,432,000 | 3,318,000 | 119,186,000 | 57,853,000 | 24,756,000 | 410,545,000 |
7 |
Petróleo Brasileiro S.A. - Petrobras Parent Company Interim Accounting Information / Statement of Changes in Shareholders' Equity - 01/01/2021 to 06/30/2021 (R$ Thousand) | |
Account Code | Account Description | Share Capital | Capital Reserves, Granted Options and Treasury Shares | Profit Reserves | Retained Earnings / Accumulated Losses | Other Comprehensive Income | Shareholders' Equity |
5.01 | Balance at the Beginning of the Period | 205,432,000 | 2,665,000 | 127,296,000 | 0 | -26,983,000 | 308,410,000 |
5.03 | Adjusted Opening Balance | 205,432,000 | 2,665,000 | 127,296,000 | 0 | -26,983,000 | 308,410,000 |
5.04 | Capital Transactions with Owners | 0 | -3,716,000 | -5,861,000 | 0 | 0 | -9,577,000 |
5.04.06 | Dividends | 0 | 0 | -5,861,000 | 0 | 0 | -5,861,000 |
5.04.08 | Change in Interest in Subsidiaries | 0 | -3,716,000 | 0 | 0 | 0 | -3,716,000 |
5.05 | Total of Comprehensive Income | 0 | 0 | 0 | 44,022,000 | 13,197,000 | 57,219,000 |
5.05.01 | Net Income for the Period | 0 | 0 | 0 | 44,022,000 | 0 | 44,022,000 |
5.05.02 | Other Comprehensive Income | 0 | 0 | 0 | 0 | 13,197,000 | 13,197,000 |
5.07 | Balance at the End of the Period | 205,432,000 | -1,051,000 | 121,435,000 | 44,022,000 | -13,786,000 | 356,052,000 |
b
8 |
Petróleo Brasileiro S.A. - Petrobras Parent Company Interim Accounting Information / Statement of Cash Flows - Indirect Method (R$ Thousand) | |
Account Code | Account Description | Accumulated of the Current Year 01/01/2022 to 06/30/2022 | Accumulated of the Previous Year 01/01/2021 to 06/30/2021 |
6.01 | Net cash provided by operating activities | 71,822,000 | 60,295,000 |
6.01.01 | Cash provided by operating activities | 133,496,000 | 107,070,000 |
6.01.01.01 | Net Income for the period | 98,891,000 | 44,022,000 |
6.01.01.02 | Pension and medical benefits (actuarial expense) | 3,136,000 | 3,306,000 |
6.01.01.03 | Results in equity-accounted investments | -12,458,000 | -9,222,000 |
6.01.01.04 | Depreciation, depletion and amortization | 35,167,000 | 32,950,000 |
6.01.01.05 | Impairment of assets (reversal) | 797,000 | 1,186,000 |
6.01.01.06 | Exploratory expenditures write-offs | 183,000 | 1,036,000 |
6.01.01.08 | Foreign exchange, indexation and finance charges | 16,570,000 | 18,321,000 |
6.01.01.09 | Deferred income taxes, net | 9,996,000 | 20,379,000 |
6.01.01.10 | Allowance (reversals) for expected credit losses | 216,000 | 10,000 |
6.01.01.13 | Revision and unwinding of discount on the provision for decommissioning costs | 1,487,000 | 2,078,000 |
6.01.01.16 | Results from co-participation agreements in bid areas | -14,243,000 | 0 |
6.01.01.17 | Disposal/write-offs of assets, remeasurement of investment retained with loss of control and reclassification of CTA | -4,212,000 | -1,133,000 |
6.01.01.18 | PIS and COFINS recovery - exclusion of ICMS (VAT tax) from the basis of calculation | -11,000 | -4,588,000 |
6.01.01.19 | Early termination and cash outflows revision of lease agreements | -2,023,000 | -1,275,000 |
6.01.02 | Decrease / (increase) in assets / increase/ (decrease) in liabilities | -61,674,000 | -46,775,000 |
6.01.02.01 | Trade and other receivables, net | -43,437,000 | -26,510,000 |
6.01.02.02 | Inventories | -10,764,000 | -6,277,000 |
6.01.02.03 | Judicial deposits | -4,027,000 | -2,357,000 |
6.01.02.05 | Other assets | -2,070,000 | -2,242,000 |
6.01.02.06 | Trade payables | 83,000 | -10,250,000 |
6.01.02.07 | Other taxes payable | 31,939,000 | 12,234,000 |
6.01.02.08 | Pension and medical benefits | -8,713,000 | -8,756,000 |
6.01.02.09 | Provisions for legal proceedings | 1,608,000 | 27,000 |
6.01.02.10 | Short-term benefits | -1,705,000 | -1,173,000 |
6.01.02.11 | Income tax and social contribution paid | -25,071,000 | -69,000 |
6.01.02.12 | Provision for Decommissioning Costs | -1,424,000 | -1,740,000 |
6.01.02.14 | Other liabilities | 1,907,000 | 338,000 |
6.02 | Net cash used in investing activities | 5,427,000 | -91,137,000 |
6.02.01 | Acquisition of PP&E and intangibles assets | -20,015,000 | -49,799,000 |
6.02.02 | Decrease (increase) in investments in investees | -82,000 | 1,945,000 |
6.02.03 | Proceeds from disposal of assets - Divestment | 16,970,000 | 3,054,000 |
6.02.04 | Divestment (investment) in marketable securities | -17,783,000 | -48,794,000 |
6.02.05 | Dividends received | 1,506,000 | 2,457,000 |
6.02.08 | Financial compensation for Co-participation Agreement | 24,831,000 | 0 |
6.03 | Net cash used in financing activities | -77,625,000 | 28,019,000 |
6.03.02 | Proceeds from financing | 43,654,000 | 123,943,000 |
6.03.03 | Repayment of principal - finance debt | -35,586,000 | -55,391,000 |
6.03.04 | Repayment of interest - finance debt | -9,506,000 | -14,002,000 |
6.03.05 | Dividends paid to shareholders of Petrobras | -62,029,000 | -10,282,000 |
6.03.08 | Settlement of lease liabilities | -14,158,000 | -16,249,000 |
6.05 | Net increase/ (decrease) in cash and cash equivalents | -376,000 | -2,823,000 |
6.05.01 | Cash and cash equivalents at the beginning of the year | 2,930,000 | 5,180,000 |
6.05.02 | Cash and cash equivalents at the end of the period | 2,554,000 | 2,357,000 |
9 |
Petróleo Brasileiro S.A. - Petrobras Parent Company Interim Accounting Information / Statement of Added Value (R$ Thousand) | |
Account Code | Account Description | Accumulated of the Current Year 01/01/2022 to 06/30/2022 | Accumulated of the Previous Year 01/01/2021 to 06/30/2021 |
7.01 | Sales Revenues | 395,557,000 | 264,050,000 |
7.01.01 | Sales of Goods and Services | 358,045,000 | 242,757,000 |
7.01.02 | Other Revenues | 20,927,000 | 6,775,000 |
7.01.03 | Revenues Related to the Construction of Assets to be Used in Own Operations | 16,801,000 | 14,528,000 |
7.01.04 | Allowance for expected credit losses | -216,000 | -10,000 |
7.02 | Inputs Acquired from Third Parties | -109,255,000 | -81,310,000 |
7.02.01 | Cost of Sales | -62,277,000 | -39,123,000 |
7.02.02 | Materials, Power, Third-Party Services and Other Operating Expenses | -23,038,000 | -23,644,000 |
7.02.03 | Impairment Charges / Reversals of Assets | -797,000 | -1,186,000 |
7.02.04 | Others | -23,143,000 | -17,357,000 |
7.02.04.01 | Tax Credits on Inputs Acquired from Third Parties | -23,143,000 | -17,357,000 |
7.03 | Gross Added Value | 286,302,000 | 182,740,000 |
7.04 | Retentions | -38,684,000 | -35,671,000 |
7.04.01 | Depreciation, Amortization and Depletion | -38,684,000 | -35,671,000 |
7.05 | Net Added Value Produced | 247,618,000 | 147,069,000 |
7.06 | Transferred Added Value | 20,052,000 | 16,018,000 |
7.06.01 | Share of Profit of Equity-Accounted Investments | 12,458,000 | 9,222,000 |
7.06.02 | Finance Income | 4,754,000 | 1,189,000 |
7.06.03 | Others | 2,840,000 | 5,607,000 |
7.06.03.01 | Rentals, royalties and others | 2,840,000 | 1,019,000 |
7.06.03.03 | PIS and COFINS recovery - exclusion of ICMS (VAT tax) from the basis of calculation | 0 | 4,588,000 |
7.07 | Total Added Value to be Distributed | 267,670,000 | 163,087,000 |
7.08 | Distribution of Added Value | 267,670,000 | 163,087,000 |
7.08.01 | Employee Compensation | 12,557,000 | 12,193,000 |
7.08.01.01 | Salaries | 8,016,000 | 7,487,000 |
7.08.01.02 | Fringe Benefits | 4,090,000 | 4,283,000 |
7.08.01.03 | Unemployment Benefits (FGTS) | 451,000 | 423,000 |
7.08.02 | Taxes and Contributions | 128,507,000 | 79,803,000 |
7.08.02.01 | Federal | 104,058,000 | 63,296,000 |
7.08.02.02 | State | 24,275,000 | 16,435,000 |
7.08.02.03 | Municipal | 174,000 | 72,000 |
7.08.03 | Return on Third-Party Capital | 27,715,000 | 27,069,000 |
7.08.03.01 | Interest | 24,227,000 | 24,601,000 |
7.08.03.02 | Rental Expenses | 3,488,000 | 2,468,000 |
7.08.04 | Return on Shareholders' Equity | 98,891,000 | 44,022,000 |
7.08.04.01 | Interest on Capital | 5,633,000 | 0 |
7.08.04.02 | Dividends | 35,405,000 | 0 |
7.08.04.03 | Retained Earnings / (Losses) for the Period | 57,853,000 | 44,022,000 |
10 |
Petróleo Brasileiro S.A. - Petrobras Consolidated Interim Accounting Information / Statement of Financial Position - Assets (R$ Thousand) | |
Account Code | Account Description | 06.30.2022 | 12.31.2021 |
1 | Total Assets | 1,004,754,000 | 972,951,000 |
1.01 | Current Assets | 224,785,000 | 168,247,000 |
1.01.01 | Cash and Cash Equivalents | 85,311,000 | 58,410,000 |
1.01.02 | Marketable Securities | 14,957,000 | 3,630,000 |
1.01.03 | Trade and Other Receivables | 26,443,000 | 35,538,000 |
1.01.04 | Inventories | 49,822,000 | 40,486,000 |
1.01.06 | Recoverable Taxes | 6,676,000 | 7,511,000 |
1.01.06.01 | Current Recoverable Taxes | 6,676,000 | 7,511,000 |
1.01.06.01.01 | Recoverable Income Taxes | 744,000 | 911,000 |
1.01.06.01.02 | Other Recoverable Taxes | 5,932,000 | 6,600,000 |
1.01.08 | Other Current Assets | 41,576,000 | 22,672,000 |
1.01.08.01 | Non-Current Assets Held for Sale | 30,340,000 | 13,895,000 |
1.01.08.03 | Others | 11,236,000 | 8,777,000 |
1.01.08.03.03 | Others | 11,236,000 | 8,777,000 |
1.02 | Non-Current Assets | 779,969,000 | 804,704,000 |
1.02.01 | Long-Term Receivables | 86,511,000 | 79,992,000 |
1.02.01.03 | Marketable Securities measured at amortized cost | 257,000 | 247,000 |
1.02.01.04 | Trade and Other Receivables | 10,379,000 | 10,603,000 |
1.02.01.07 | Deferred Taxes | 21,978,000 | 21,568,000 |
1.02.01.07.01 | Deferred Income Tax and Social Contribution | 2,869,000 | 3,371,000 |
1.02.01.07.02 | Deferred Taxes and Contributions | 19,109,000 | 18,197,000 |
1.02.01.10 | Other Non-Current Assets | 53,897,000 | 47,574,000 |
1.02.01.10.04 | Judicial Deposits | 50,894,000 | 44,858,000 |
1.02.01.10.05 | Other Assets | 3,003,000 | 2,716,000 |
1.02.02 | Investments | 8,993,000 | 8,427,000 |
1.02.03 | Property, Plant and Equipment | 667,423,000 | 699,406,000 |
1.02.04 | Intangible Assets | 17,042,000 | 16,879,000 |
11 |
Petróleo Brasileiro S.A. - Petrobras Consolidated Interim Accounting Information / Statement of Financial Position - Liabilities (R$ Thousand) b | |
Account Code | Account Description | 06.30.2022 | 12.31.2021 |
2 | Total Liabilities | 1,004,754,000 | 972,951,000 |
2.01 | Current Liabilities | 171,157,000 | 134,913,000 |
2.01.01 | Payroll, Profit Sharing and Related Charges | 6,814,000 | 8,335,000 |
2.01.02 | Trade Payables | 28,954,000 | 30,597,000 |
2.01.03 | Taxes Obligations | 10,065,000 | 4,089,000 |
2.01.03.01 | Federal Taxes Obligations | 10,065,000 | 4,089,000 |
2.01.03.01.01 | Income Tax and Social Contribution Payable | 10,065,000 | 4,089,000 |
2.01.04 | Current Debt and Lease Obligations | 48,923,000 | 50,631,000 |
2.01.04.01 | Current Debt | 21,560,000 | 20,316,000 |
2.01.04.03 | Lease Obligations | 27,363,000 | 30,315,000 |
2.01.05 | Other Liabilities | 63,158,000 | 32,789,000 |
2.01.05.02 | Others | 63,158,000 | 32,789,000 |
2.01.05.02.01 | Dividends and Interest on Capital Payable | 24,269,000 | 0 |
2.01.05.02.04 | Other Taxes Payable | 19,822,000 | 22,325,000 |
2.01.05.02.06 | Other liabilities | 19,067,000 | 10,464,000 |
2.01.06 | Provisions | 3,697,000 | 3,632,000 |
2.01.06.02 | Other Provisions | 3,697,000 | 3,632,000 |
2.01.06.02.04 | Pension and Medical Benefits | 3,697,000 | 3,632,000 |
2.01.07 | Liabilities Associated with Non-Current Assets Held for Sale and Discontinued | 9,546,000 | 4,840,000 |
2.01.07.01 | Liabilities Associated with Non-Current Assets Held for Sale | 9,546,000 | 4,840,000 |
2.02 | Non-Current Liabilities | 420,745,000 | 448,457,000 |
2.02.01 | Non-Current Debt and Finance Lease Obligations | 231,714,000 | 277,187,000 |
2.02.01.01 | Non-Current Debt | 141,084,000 | 178,908,000 |
2.02.01.03 | Lease Obligations | 90,630,000 | 98,279,000 |
2.02.02 | Other Liabilities | 1,626,000 | 1,676,000 |
2.02.02.02 | Others | 1,626,000 | 1,676,000 |
2.02.02.02.03 | Income Tax and Social Contribution | 1,626,000 | 1,676,000 |
2.02.03 | Deferred Taxes | 36,115,000 | 6,857,000 |
2.02.03.01 | Deferred Taxes | 36,115,000 | 6,857,000 |
2.02.04 | Provisions | 151,290,000 | 162,737,000 |
2.02.04.01 | Provisions for Tax Social Security, Labor and Civil Lawsuits | 12,926,000 | 11,263,000 |
2.02.04.02 | Other Provisions | 138,364,000 | 151,474,000 |
2.02.04.02.04 | Pension and Medical Benefits | 45,872,000 | 51,498,000 |
2.02.04.02.05 | Provision for Decommissioning Costs | 81,053,000 | 87,160,000 |
2.02.04.02.06 | Employee Benefits | 542,000 | 812,000 |
2.02.04.02.07 | Other liabilities | 10,897,000 | 12,004,000 |
2.03 | Shareholders' Equity | 412,852,000 | 389,581,000 |
2.03.01 | Share Capital | 205,432,000 | 205,432,000 |
2.03.02 | Capital Reserves | 3,102,000 | 3,097,000 |
2.03.04 | Profit Reserves | 177,255,000 | 164,244,000 |
2.03.08 | Other Comprehensive Income | 24,756,000 | 14,556,000 |
2.03.09 | Non-controlling interests | 2,307,000 | 2,252,000 |
12 |
Petróleo Brasileiro S.A. - Petrobras Consolidated Interim Accounting Information / Statement of Income (R$ Thousand) | |
Account Code | Account Description | Accumulated of the Current Quarter 04/01/2022 to 06/30/2022 | Accumulated of the Current Year 01/01/2022 to 06/30/2022 | Accumulated of the Previous Quarter 04/01/2021 to 06/30/2021 | Accumulated of the Previous Year 01/01/2021 to 06/30/2021 |
3.01 | Sales Revenues | 170,960,000 | 312,601,000 | 110,710,000 | 196,884,000 |
3.02 | Cost of Sales | -75,099,000 | -141,974,000 | -53,705,000 | -95,846,000 |
3.03 | Gross Profit | 95,861,000 | 170,627,000 | 57,005,000 | 101,038,000 |
3.04 | Operating Expenses / Income | 573,000 | -8,795,000 | -4,824,000 | -14,953,000 |
3.04.01 | Selling Expenses | -6,136,000 | -12,295,000 | -5,742,000 | -10,940,000 |
3.04.02 | General and Administrative Expenses | -1,589,000 | -3,148,000 | -1,371,000 | -2,867,000 |
3.04.05 | Other Operating Expenses | 8,352,000 | 4,886,000 | -3,016,000 | -7,470,000 |
3.04.05.01 | Other Taxes | -455,000 | -766,000 | -261,000 | -842,000 |
3.04.05.02 | Research and Development Expenses | -1,080,000 | -2,161,000 | -775,000 | -1,414,000 |
3.04.05.03 | Exploration Costs | -196,000 | -604,000 | -1,005,000 | -2,201,000 |
3.04.05.05 | Other Operating Expenses, Net | 10,930,000 | 9,260,000 | -478,000 | -2,008,000 |
3.04.05.07 | Impairment of Assets / Reversals (Charges) | -847,000 | -843,000 | -497,000 | -1,005,000 |
3.04.06 | Share of Profit / Gains on Interest in Equity-Accounted Investments | -54,000 | 1,762,000 | 5,305,000 | 6,324,000 |
3.05 | Net Income Before Financial Results and Income Taxes | 96,434,000 | 161,832,000 | 52,181,000 | 86,085,000 |
3.06 | Finance Income (Expenses), Net | -15,757,000 | -12,774,000 | 10,776,000 | -19,972,000 |
3.06.01 | Finance Income | 3,054,000 | 4,414,000 | 1,109,000 | 1,785,000 |
3.06.01.01 | Finance Income | 3,054,000 | 4,414,000 | 1,109,000 | 1,785,000 |
3.06.02 | Finance Expenses | -18,811,000 | -17,188,000 | 9,667,000 | -21,757,000 |
3.06.02.01 | Finance Expenses | -4,691,000 | -8,660,000 | -9,871,000 | -16,484,000 |
3.06.02.02 | Foreign Exchange and Inflation Indexation Charges, Net | -14,120,000 | -8,528,000 | 19,538,000 | -5,273,000 |
3.07 | Net Income Before Income Taxes | 80,677,000 | 149,058,000 | 62,957,000 | 66,113,000 |
3.08 | Income Tax and Social Contribution | -26,193,000 | -49,791,000 | -19,916,000 | -21,796,000 |
3.08.01 | Current | -26,057,000 | -39,520,000 | -520,000 | -1,169,000 |
3.08.02 | Deferred | -136,000 | -10,271,000 | -19,396,000 | -20,627,000 |
3.09 | Net Income from Continuing Operations | 54,484,000 | 99,267,000 | 43,041,000 | 44,317,000 |
3.11 | Income / (Loss) for the Period | 54,484,000 | 99,267,000 | 43,041,000 | 44,317,000 |
3.11.01 | Attributable to Shareholders of Petrobras | 54,330,000 | 98,891,000 | 42,855,000 | 44,022,000 |
3.11.02 | Attributable to Non-Controlling Interests | 154,000 | 376,000 | 186,000 | 295,000 |
3.99.01 | Income per Share | ||||
3.99.01.01 | Ordinary Shares | 4.16 | 7.58 | 3.28 | 3.37 |
3.99.01.02 | Preferred Shares | 4.16 | 7.58 | 3.28 | 3.37 |
3.99.02 | Diluted Income per Share | ||||
3.99.02.01 | Ordinary Shares | 4.16 | 7.58 | 3.28 | 3.37 |
3.99.02.02 | Preferred Shares | 4.16 | 7.58 | 3.28 | 3.37 |
13 |
Petróleo Brasileiro S.A. - Petrobras Consolidated Interim Accounting Information / Statement of Comprehensive Income (R$ Thousand) | |
Account Code | Account Description | Accumulated of the Current Quarter 04/01/2022 to 06/30/2022 | Accumulated of the Current Year 01/01/2022 to 06/30/2022 | Accumulated of the Previous Quarter 04/01/2021 to 06/30/2021 | Accumulated of the Previous Year 01/01/2021 to 06/30/2021 |
4.01 | Net Income for the Period | 54,484,000 | 99,267,000 | 43,041,000 | 44,317,000 |
4.02 | Other Comprehensive Income | 7,898,000 | 10,198,000 | 5,119,000 | 13,044,000 |
4.02.01 | Actuarial Gains (Losses) on Post-employment Defined Benefits Plans | 0 | 0 | 8,661,000 | 8,646,000 |
4.02.02 | Deferred Income Tax and Social Contribution on Actuarial Gains / (Losses) on Defined Benefits Plans | 0 | 0 | -2,942,000 | -2,942,000 |
4.02.03 | Translation Adjustments in Investees | 26,224,000 | -17,076,000 | -34,317,000 | -9,641,000 |
4.02.07 | Unrealized Gains / (Losses) on Cash Flow Hedge - Recognized in Shareholders' Equity | -32,407,000 | 27,501,000 | 42,714,000 | 12,193,000 |
4.02.08 | Unrealized Gains / (Losses) on Cash Flow Hedge - Reclassified to Profit and Loss | 5,442,000 | 12,663,000 | 6,333,000 | 12,427,000 |
4.02.09 | Deferred Income Tax and Social Contribution on Cash Flow Hedge | 9,168,000 | -13,656,000 | -16,676,000 | -8,371,000 |
4.02.10 | Share of Other Comprehensive Income of Equity-Accounted Investments | -529,000 | 766,000 | 1,346,000 | 732,000 |
4.03 | Total Comprehensive Income for the Period | 62,382,000 | 109,465,000 | 48,160,000 | 57,361,000 |
4.03.01 | Attributable to Shareholders of Petrobras | 62,226,000 | 109,091,000 | 48,518,000 | 57,219,000 |
4.03.02 | Attributable to Non-controlling Interests | 156,000 | 374,000 | -358,000 | 142,000 |
14 |
Petróleo Brasileiro S.A. - Petrobras Consolidated Interim Accounting Information / Statement of Changes in Shareholders' Equity - 01/01/2022 to 06/30/2022 (R$ Thousand) | |
Account Code | Account Description | Share Capital | Capital Reserves, Granted Options and Treasury Shares | Profit Reserves | Retained Earnings / Accumulated Losses | Other Comprehensive Income | Shareholders' Equity | Non-controlling interest | Shareholders' Equity Consolidated |
5.01 | Balance at the Beginning of the Period | 205,432,000 | 3,313,000 | 164,028,000 | 0 | 14,556,000 | 387,329,000 | 2,252,000 | 389,581,000 |
5.03 | Adjusted Opening Balance | 205,432,000 | 3,313,000 | 164,028,000 | 0 | 14,556,000 | 387,329,000 | 2,252,000 | 389,581,000 |
5.04 | Capital Transactions with Owners | 0 | 5,000 | -44,842,000 | -41,038,000 | 0 | -85,875,000 | -319,000 | -86,194,000 |
5.04.06 | Dividends | 0 | 0 | -44,842,000 | -41,038,000 | 0 | -85,880,000 | -223,000 | -86,103,000 |
5.04.08 | Capital Transactions | 0 | 5,000 | 0 | 0 | 0 | 5,000 | -96,000 | -91,000 |
5.05 | Capital Transactions | 0 | 0 | 0 | 98,891,000 | 10,200,000 | 109,091,000 | 374,000 | 109,465,000 |
5.05.01 | Net Income for the Period | 0 | 0 | 0 | 98,891,000 | 0 | 98,891,000 | 376,000 | 99,267,000 |
5.05.02 | Other Comprehensive Income | 0 | 0 | 0 | 0 | 10,200,000 | 10,200,000 | -2,000 | 10,198,000 |
5.07 | Balance at the End of the Period | 205,432,000 | 3,318,000 | 119,186,000 | 57,853,000 | 24,756,000 | 410,545,000 | 2,307,000 | 412,852,000 |
15 |
Petróleo Brasileiro S.A. - Petrobras Consolidated Interim Accounting Information / Statement of Changes in Shareholders' Equity - 01/01/2021 to 06/30/2021 (R$ Thousand) | |
Account Code | Account Description | Share Capital | Capital Reserves, Granted Options and Treasury Shares | Profit Reserves | Retained Earnings / Accumulated Losses | Other Comprehensive Income | Shareholders' Equity | Non-controlling interest | Shareholders' Equity Consolidated |
5.01 | Balance at the Beginning of the Period | 205,432,000 | 2,665,000 | 127,296,000 | 0 | -26,983,000 | 308,410,000 | 2,740,000 | 311,150,000 |
5.03 | Adjusted Opening Balance | 205,432,000 | 2,665,000 | 127,296,000 | 0 | -26,983,000 | 308,410,000 | 2,740,000 | 311,150,000 |
5.04 | Capital Transactions with Owners | 0 | -3,716,000 | -5,861,000 | 0 | 0 | -9,577,000 | 3,456,000 | -6,121,000 |
5.04.01 | Capital Increases | 0 | 0 | 0 | 0 | 0 | 0 | 11,000 | 11,000 |
5.04.06 | Dividends | 0 | 0 | -5,861,000 | 0 | 0 | -5,861,000 | -204,000 | -6,065,000 |
5.04.08 | Capital Transactions | 0 | -3,716,000 | 0 | 0 | 0 | -3,716,000 | 3,649,000 | -67,000 |
5.05 | Total of Comprehensive Income | 0 | 0 | 0 | 44,022,000 | 13,197,000 | 57,219,000 | 142,000 | 57,361,000 |
5.05.01 | Net Income for the Period | 0 | 0 | 0 | 44,022,000 | 0 | 44,022,000 | 295,000 | 44,317,000 |
5.05.02 | Other Comprehensive Income | 0 | 0 | 0 | 0 | 13,197,000 | 13,197,000 | -153,000 | 13,044,000 |
5.07 | Balance at the End of the Period | 205,432,000 | -1,051,000 | 121,435,000 | 44,022,000 | -13,786,000 | 356,052,000 | 6,338,000 | 362,390,000 |
16 |
Petróleo Brasileiro S.A. - Petrobras Consolidated Interim Accounting Information / Statement of Cash Flows - Indirect Method (R$ Thousand) | |
Account Code | Account Description | Accumulated of the Current Year 01/01/2022 to 06/30/2022 | Accumulated of the Previous Year 01/01/2021 to 06/30/2021 |
6.01 | Net cash provided by operating activities | 124,628,000 | 96,634,000 |
6.01.01 | Cash provided by operating activities | 141,186,000 | 110,286,000 |
6.01.01.01 | Net Income for the period | 99,267,000 | 44,317,000 |
6.01.01.02 | Pension and medical benefits (actuarial expense) | 3,210,000 | 3,434,000 |
6.01.01.03 | Results of equity-accounted investments | -1,762,000 | -6,324,000 |
6.01.01.04 | Depreciation, depletion and amortization | 33,600,000 | 30,558,000 |
6.01.01.05 | Impairment of assets (reversal) | 843,000 | 1,005,000 |
6.01.01.06 | Exploratory expenditures write-offs | 455,000 | 1,036,000 |
6.01.01.08 | Foreign exchange, indexation and finance charges | 14,178,000 | 20,142,000 |
6.01.01.09 | Deferred income taxes, net | 10,271,000 | 20,627,000 |
6.01.01.10 | Allowance (reversals) for expected credit losses | 195,000 | -46,000 |
6.01.01.11 | Inventory write-down (write-back) to net realizable value | 15,000 | -5,000 |
6.01.01.13 | Revision and unwinding of discount on the provision for decommissioning costs | 1,497,000 | 2,091,000 |
6.01.01.16 | Results from co-participation agreements in bid areas | -14,243,000 | 0 |
6.01.01.17 | Disposal/write-offs of assets, remeasurement of investment retained with loss of control and reclassification of CTA | -4,300,000 | -437,000 |
6.01.01.18 | PIS and COFINS recovery - exclusion of ICMS (VAT tax) from the basis of calculation | -18,000 | -4,898,000 |
6.01.01.19 | Early termination and cash outflows revision of lease agreements | -2,022,000 | -1,214,000 |
6.01.02 | Decrease / (increase) in assets / increase/ (decrease) in liabilities | -16,558,000 | -13,652,000 |
6.01.02.01 | Trade and other receivables, net | 247,000 | -3,582,000 |
6.01.02.02 | Inventories | -10,252,000 | -8,712,000 |
6.01.02.03 | Judicial deposits | -4,143,000 | -2,383,000 |
6.01.02.05 | Other assets | -2,965,000 | -1,128,000 |
6.01.02.06 | Trade payables | -1,092,000 | 1,838,000 |
6.01.02.07 | Other taxes payable | 34,450,000 | 12,669,000 |
6.01.02.08 | Pension and medical benefits | -8,721,000 | -8,759,000 |
6.01.02.09 | Provisions for legal proceedings | 1,687,000 | -314,000 |
6.01.02.10 | Short-term benefits | -1,775,000 | -1,276,000 |
6.01.02.11 | Income tax and social contribution paid | -25,449,000 | -652,000 |
6.01.02.12 | Provision for Decommissioning Costs | -1,424,000 | -1,743,000 |
6.01.02.14 | Other liabilities | 2,879,000 | 390,000 |
6.02 | Net cash used in investing activities | 11,744,000 | -12,614,000 |
6.02.01 | Acquisition of PP&E and intangibles assets | -20,721,000 | -16,871,000 |
6.02.02 | Decrease (increase) in investments in assets | -98,000 | -60,000 |
6.02.03 | Proceeds from disposal of assets - Divestment | 17,055,000 | 2,728,000 |
6.02.04 | Divestment (investment) in marketable securities | -10,536,000 | 492,000 |
6.02.05 | Dividends received | 1,213,000 | 1,097,000 |
6.02.08 | Financial compensation for Co-participation Agreement | 24,831,000 | 0 |
6.03 | Net cash used in financing activities | -106,160,000 | -96,349,000 |
6.03.01 | Changes in non-controlling interest | -93,000 | -66,000 |
6.03.02 | Proceeds from financing | 1,645,000 | 8,469,000 |
6.03.03 | Repayment of principal - finance debt | -27,040,000 | -71,898,000 |
6.03.04 | Repayment of interest - finance debt | -4,740,000 | -6,787,000 |
6.03.05 | Dividends paid to shareholders of Petrobras | -62,029,000 | -10,282,000 |
6.03.06 | Dividends paid to non-controlling interests | -290,000 | -212,000 |
6.03.08 | Settlement of lease liabilities | -13,613,000 | -15,573,000 |
6.04 | Effect of exchange rate changes on cash and cash equivalents | -3,346,000 | 529,000 |
6.05 | Net increase/ (decrease) in cash and cash equivalents | 26,866,000 | -11,800,000 |
6.05.01 | Cash and cash equivalents at the beginning of the year | 58,482,000 | 60,930,000 |
6.05.02 | Cash and cash equivalents at the end of the period | 85,348,000 | 49,130,000 |
17 |
Petróleo Brasileiro S.A. - Petrobras Consolidated Interim Accounting Information / Statement of Added Value (R$ Thousand) | |
Account Code | Account Description | Accumulated of the Current Year 01/01/2022 to 06/30/2022 | Accumulated of the Previous Year 01/01/2021 to 06/30/2021 |
7.01 | Sales Revenues | 413,029,000 | 270,822,000 |
7.01.01 | Sales of Goods and Services | 373,772,000 | 245,025,000 |
7.01.02 | Other Revenues | 22,006,000 | 9,075,000 |
7.01.03 | Revenues Related to the Construction of Assets to be Used in Own Operations | 17,446,000 | 16,676,000 |
7.01.04 | Allowance for expected credit losses | -195,000 | 46,000 |
7.02 | Inputs Acquired from Third Parties | -114,396,000 | -81,222,000 |
7.02.01 | Cost of Sales | -67,181,000 | -38,775,000 |
7.02.02 | Materials, Power, Third-Party Services and Other Operating Expenses | -24,347,000 | -25,153,000 |
7.02.03 | Impairment Charges / Reversals of Assets | -843,000 | -1,005,000 |
7.02.04 | Others | -22,025,000 | -16,289,000 |
7.02.04.01 | Tax Credits on Inputs Acquired from Third Parties | -22,010,000 | -16,294,000 |
7.02.04.02 | Inventory Write-Down to Net Realizable Value | -15,000 | 5,000 |
7.03 | Gross Added Value | 298,633,000 | 189,600,000 |
7.04 | Retentions | -37,117,000 | -33,279,000 |
7.04.01 | Depreciation, Amortization and Depletion | -37,117,000 | -33,279,000 |
7.05 | Net Added Value Produced | 261,516,000 | 156,321,000 |
7.06 | Transferred Added Value | 7,811,000 | 13,403,000 |
7.06.01 | Share of Profit of Equity-Accounted Investments | 1,762,000 | 6,324,000 |
7.06.02 | Finance Income | 4,414,000 | 1,785,000 |
7.06.03 | Others | 1,635,000 | 5,294,000 |
7.06.03.01 | Rentals, royalties and others | 1,635,000 | 396,000 |
7.06.03.03 | PIS and COFINS recovery - exclusion of ICMS (VAT tax) from the basis of calculation | 0 | 4,898,000 |
7.07 | Total Added Value to be Distributed | 269,327,000 | 169,724,000 |
7.08 | Distribution of Added Value | 269,327,000 | 169,724,000 |
7.08.01 | Employee Compensation | 13,809,000 | 13,513,000 |
7.08.01.01 | Salaries | 8,976,000 | 8,470,000 |
7.08.01.02 | Fringe Benefits | 4,334,000 | 4,570,000 |
7.08.01.03 | Unemployment Benefits (FGTS) | 499,000 | 473,000 |
7.08.02 | Taxes and Contributions | 132,922,000 | 82,915,000 |
7.08.02.01 | Federal | 107,816,000 | 65,892,000 |
7.08.02.02 | State | 24,671,000 | 16,716,000 |
7.08.02.03 | Municipal | 435,000 | 307,000 |
7.08.03 | Return on Third-Party Capital | 23,329,000 | 28,979,000 |
7.08.03.01 | Interest | 19,872,000 | 26,736,000 |
7.08.03.02 | Rental Expenses | 3,457,000 | 2,243,000 |
7.08.04 | Return on Shareholders' Equity | 99,267,000 | 44,317,000 |
7.08.04.01 | Interest on Capital | 5,633,000 | 0 |
7.08.04.02 | Dividends | 35,405,000 | 0 |
7.08.04.03 | Retained Earnings / (Losses) for the Period | 57,853,000 | 44,022,000 |
7.08.04.04 | Non-controlling Interests on Retained Earnings / (Losses) | 376,000 | 295,000 |
18 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
1. | Basis of preparation |
These interim financial statements present the significant changes in the period, avoiding repetition of certain notes to the financial statements previously reported, and present the consolidated information, considering Management's understanding that it provides a comprehensive view of the Company's financial position and operational performance, complemented by certain information of the Parent Company. Hence, this interim financial information should be read together with the Company's audited annual financial statements for the year ended December 31, 2021, which include the full set of notes.
The consolidated and individual interim financial information of the company was prepared and is presented in accordance with the Technical Pronouncement - CPC 21 (R1) - Interim Financial Statements, issued by the Accounting Pronouncements Committee (CPC) and approved by the Securities and Exchange Commission (CVM), and related to IAS 34 - Interim Financial Reporting issued by the International Accounting Standards Board (IASB). All relevant information pertaining to the financial statements, and only these, are being evidenced, and correspond to those used in the management of the company's Management.
These interim financial statements were approved and authorized for issue by the Company's Board of Directors in a meeting held on July 28, 2022.
2. | Summary of significant accounting policies |
The same accounting policies and methods of computation were followed in these consolidated interim financial statements as those followed in the preparation of the annual financial statements of the Company for the year ended December 31, 2021.
The accounting standards that came into effect on January 1st, 2022 did not have a material effect on these individual and consolidated quarterly information.
Regarding the reform of the reference interest rates (IBOR Reform), the Company continues to monitor the pronouncements of the regulatory authorities, as well as the measures that have been adopted, aimed at adapting the various financial instruments to the new benchmarks. Petrobras and its subsidiaries have debts indexed to Libor (London Interbank Offered Rate), the amount of which corresponds to approximately 33.7% of their financings. Debts indexed to Libor are presented in Note 23.4.
3. | Cash and cash equivalents and Marketable securities |
3.1. | Cash and cash equivalents |
They include cash, available bank deposits and short-term financial investments with high liquidity, which meet the definition of cash and cash equivalents recommended in accounting practice.
Consolidated | ||
06.30.2022 | 12.31.2021 | |
Cash at bank and in hand | 1,212 | 1,666 |
Short-term financial investments | ||
- In Brazil | ||
Brazilian interbank deposit rate investment funds and other short-term deposits | 31,807 | 10,885 |
Other investment funds | 1,073 | 911 |
32,880 | 11,796 | |
- Abroad | ||
Time deposits | 32,448 | 24,050 |
Automatic investing accounts and interest checking accounts | 18,620 | 20,826 |
Other financial investments | 151 | 72 |
51,219 | 44,948 | |
Total short-term financial investments | 84,099 | 56,744 |
Total cash and cash equivalents | 85,311 | 58,410 |
Short-term financial investments in Brazil primarily consist of investments in funds holding Brazilian Federal Government Bonds that can be redeemed immediately, as well as reverse repurchase agreements that mature within three months as of the date of their acquisition. Short-term financial investments abroad comprise time deposits that mature in three months or less from the date of their acquisition, highly-liquid automatic investment accounts, interest checking accounts and other short-term fixed income instruments.
19 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
3.2. | Marketable securities |
Consolidated | ||
06.30.2022 | 12.31.2021 | |
Fair value through profit or loss | 3,256 | 3,630 |
Amortized cost | 11,958 | 247 |
Total | 15,214 | 3,877 |
Current | 14,957 | 3,630 |
Non-current | 257 | 247 |
Marketable securities classified as fair value through profit or loss refer mainly to investments in Brazilian Federal Government Bonds. These financial investments have maturities of more than three months and are generally classified as current assets due to their maturity or the expectation of their realization in the short term. Securities classified as amortized cost refer to investments abroad in time deposits with maturities exceeding three months from the contracting date and investments in floating-rate Bank Deposit Certificates (CDB) with daily liquidity, with maturity of one year.
20 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
4. | Sales revenues |
Consolidated | ||||
2022 | 2021 | |||
Apr-Jun | Jan-Jun | Apr-Jun | Jan-Jun | |
Gross sales | 201,389 | 373,772 | 136,888 | 245,025 |
Sales taxes (*) | (30,429) | (61,171) | (26,178) | (48,141) |
Sales revenues | 170,960 | 312,601 | 110,710 | 196,884 |
Diesel | 52,603 | 91,478 | 32,100 | 57,261 |
Gasoline | 21,187 | 40,591 | 14,439 | 25,507 |
Liquefied petroleum gas | 7,074 | 13,246 | 5,908 | 10,926 |
Jet fuel | 6,899 | 12,075 | 2,107 | 4,435 |
Naphtha | 3,555 | 6,737 | 1,889 | 3,701 |
Fuel oil (including bunker fuel) | 1,734 | 3,645 | 2,027 | 3,856 |
Other oil products | 7,949 | 14,599 | 5,319 | 10,134 |
Subtotal oil products | 101,001 | 182,371 | 63,789 | 115,820 |
Natural gas | 9,649 | 18,677 | 7,007 | 12,685 |
Crude oil | 13,251 | 22,398 | − | 290 |
Nitrogen products and renewables | 466 | 809 | 47 | 121 |
Breakage | 834 | 1,373 | 500 | 865 |
Electricity | 534 | 2,087 | 3,092 | 6,062 |
Services, agency and others | 1,508 | 2,747 | 900 | 1,776 |
Domestic market | 127,243 | 230,462 | 75,335 | 137,619 |
Exports | 40,401 | 75,511 | 33,567 | 56,367 |
Crude oil | 27,589 | 52,632 | 24,759 | 40,221 |
Fuel oil (including bunker fuel) | 11,224 | 21,089 | 6,683 | 13,281 |
Other oil products and other products | 1,588 | 1,790 | 2,125 | 2,865 |
Sales abroad (**) | 3,316 | 6,628 | 1,808 | 2,898 |
Foreign Market | 43,717 | 82,139 | 35,375 | 59,265 |
Sales revenues | 170,960 | 312,601 | 110,710 | 196,884 |
(*) Includes, mainly, CIDE, PIS, COFINS and ICMS (VAT). | ||||
(**) Sales revenues from operations outside of Brazil, including trading and excluding exports. |
In the period from January to June 2022 and 2021, Vibra Energia, formerly BR Distribuidora, represents more than 10% of the company's total sales, mainly impacting the Refining, Transportation and Marketing (RTM) segment.
5. | Costs and expenses by nature |
5.1. | Cost of sales |
Consolidated | ||||
2022 | 2021 | |||
Apr-Jun | Jan-Jun | Apr-Jun | Jan-Jun | |
Raw material, products for resale, materials and third-party services (*) | (39,525) | (69,782) | (26,138) | (40,731) |
Depreciation, depletion and amortization | (13,677) | (27,093) | (11,465) | (23,707) |
Production taxes | (19,828) | (40,974) | (13,912) | (26,823) |
Employee compensation | (2,069) | (4,125) | (2,190) | (4,585) |
Total | (75,099) | (141,974) | (53,705) | (95,846) |
(*) It Includes short-term leases and inventory turnover. |
5.2. | Selling expenses |
Consolidated | ||||
2022 | 2021 | |||
Apr-Jun | Jan-Jun | Apr-Jun | Jan-Jun | |
Materials, third-party services, freight, rent and other related costs | (4,922) | (9,889) | (4,890) | (9,189) |
Depreciation, depletion and amortization | (1,066) | (2,104) | (739) | (1,553) |
Allowance for expected credit losses | (30) | (70) | 3 | 34 |
Employee compensation | (118) | (232) | (116) | (232) |
Total | (6,136) | (12,295) | (5,742) | (10,940) |
21 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
5.3. | General and administrative expenses |
Consolidated | ||||
2022 | 2021 | |||
Apr-Jun | Jan-Jun | Apr-Jun | Jan-Jun | |
Employee compensation | (1,060) | (2,096) | (1,013) | (2,026) |
Materials, third-party services, rent and other related costs | (411) | (814) | (249) | (600) |
Depreciation, depletion and amortization | (118) | (238) | (109) | (241) |
Total | (1,589) | (3,148) | (1,371) | (2,867) |
6. | Other income and expenses |
Consolidated | ||||
2022 | 2021 | |||
Apr-Jun | Jan-Jun | Apr-Jun | Jan-Jun | |
Unscheduled stoppages and pre-operating expenses | (2,520) | (4,472) | (1,848) | (3,489) |
Gains / (losses) related to legal, administrative and arbitration proceedings | (1,485) | (2,792) | (1,675) | (1,381) |
Pension and medical benefits - retirees | (1,245) | (2,487) | (1,174) | (2,363) |
Variable compensation program | (638) | (1,256) | (534) | (1,062) |
Gains/(losses) with Commodities Derivatives | (809) | (1,091) | (98) | (224) |
Profit Sharing | (168) | (329) | (157) | (314) |
Gains / (losses) on decommissioning of returned/abandoned areas | (15) | (140) | (3) | (38) |
Equalization of expenses - Production Individualization Agreements | (187) | (49) | (44) | (288) |
Reclassification of comprehensive income (loss) due to the disposal of equity-accounted investments | − | − | (2) | (185) |
Amounts recovered from Lava Jato investigation (**) | − | 60 | 275 | 1,065 |
Tax recovery (*) | 118 | 207 | 2,548 | 2,664 |
Fines imposed on suppliers | 239 | 594 | 255 | 415 |
Expenses/Reimbursements from E&P partnership operations | 638 | 776 | 997 | 1,549 |
Early termination and cash outflows revision of lease agreements | 882 | 2,022 | 819 | 1,214 |
Results on disposal/write-offs of assets and on remeasurement of investment retained with loss of control | 1,828 | 4,300 | 365 | 622 |
Results from co-participation agreements in bid areas (***) | 14,243 | 14,243 | − | − |
Others | 49 | (326) | (202) | (193) |
Total | 10,930 | 9,260 | (478) | (2,008) |
(*) In the six-month period ended June 30, 2021, it Includes the effects of the exclusion of ICMS (VAT tax) from the basis of calculation of sales taxes PIS and COFINS, except for the effects of inflation indexation. | ||||
(**) The total amount recovered from Lava Jato Investigation through December 31, 2021 was R$ 6,220, recognized through collaboration and leniency agreements entered into with individuals and legal entities. | ||||
(***) It refers to the gain related to the Co-participation Agreement of Atapu and Sépia (see note 16.2). | ||||
7. | Net finance income (expense) |
Consolidated | ||||
2022 | 2021 | |||
Apr-Jun | Jan-Jun | Apr-Jun | Jan-Jun | |
Finance income | 3,054 | 4,414 | 1,109 | 1,785 |
Income from investments and marketable securities (Government Bonds) | 1,821 | 2,665 | 242 | 402 |
Others | 1,233 | 1,749 | 867 | 1,383 |
Finance expenses | (4,691) | (8,660) | (9,871) | (16,484) |
Interest on finance debt | (3,396) | (6,180) | (4,797) | (8,916) |
Unwinding of discount on lease liabilities | (1,644) | (3,170) | (1,582) | (3,189) |
Discount and premium on repurchase of debt securities | (404) | (538) | (3,491) | (4,504) |
Capitalized borrowing costs | 1,464 | 2,708 | 1,410 | 2,564 |
Unwinding of discount on the provision for decommissioning costs | (675) | (1,357) | (1,027) | (2,054) |
Other finance expenses and income, net | (36) | (123) | (384) | (385) |
Foreign exchange gains (losses) and indexation charges | (14,120) | (8,528) | 19,538 | (5,273) |
Foreign Exchange (*) | (8,184) | 4,351 | 23,575 | 4,848 |
Reclassification of hedge accounting to the Statement of Income (*) | (5,442) | (12,663) | (6,333) | (12,427) |
Recoverable taxes inflation indexation income (**) | 119 | 227 | 2,437 | 2,508 |
Others | (613) | (443) | (141) | (202) |
Total | (15,757) | (12,774) | 10,776 | (19,972) |
(*) For more information, see notes 27.3.a and 27.3.c. | ||||
(**) In 2021, includes PIS and Cofins inflation indexation income - exclusion of ICMS (VAT tax) from the basis of calculation.. |
22 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
8. | Net income by operating segment |
Consolidated Statement of Income by operating segment - Apr-Jun/2022
Exploration and Production | Refining, Transportation & Marketing | Gas & Power | Corporate and other business | Eliminations | Total | |
Sales revenues | 108,041 | 157,429 | 18,390 | 743 | (113,643) | 170,960 |
Intersegments | 106,229 | 2,449 | 4,971 | (6) | (113,643) | − |
Third parties | 1,812 | 154,980 | 13,419 | 749 | − | 170,960 |
Cost of sales | (40,228) | (131,897) | (11,677) | (729) | 109,432 | (75,099) |
Gross profit | 67,813 | 25,532 | 6,713 | 14 | (4,211) | 95,861 |
Expenses | 12,551 | (4,163) | (4,008) | (3,732) | (21) | 627 |
Selling | (19) | (2,267) | (3,815) | (14) | (21) | (6,136) |
General and administrative | (61) | (208) | (85) | (1,235) | − | (1,589) |
Exploration costs | (196) | − | − | − | − | (196) |
Research and development | (939) | (10) | (3) | (128) | − | (1,080) |
Other taxes | (117) | (90) | (42) | (206) | − | (455) |
Impairment | (625) | (222) | − | − | − | (847) |
Other income and expenses | 14,508 | (1,366) | (63) | (2,149) | − | 10,930 |
Net income (loss) before financial results and income taxes | 80,364 | 21,369 | 2,705 | (3,718) | (4,232) | 96,488 |
Net finance income (expenses) | − | − | − | (15,757) | − | (15,757) |
Results in equity-accounted investments | 282 | (474) | 143 | (5) | − | (54) |
Net Income (loss) before income taxes | 80,646 | 20,895 | 2,848 | (19,480) | (4,232) | 80,677 |
Income taxes | (27,324) | (7,266) | (919) | 7,877 | 1,439 | (26,193) |
Net income (loss) of the period | 53,322 | 13,629 | 1,929 | (11,603) | (2,793) | 54,484 |
Attributable to: | ||||||
Shareholders of Petrobras | 53,327 | 13,629 | 1,796 | (11,629) | (2,793) | 54,330 |
Non-controlling interests | (5) | − | 133 | 26 | − | 154 |
53,322 | 13,629 | 1,929 | (11,603) | (2,793) | 54,484 |
23 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
Consolidated Statement of Income by operating segment - Apr-Jun/2021
Exploration and Production | Refining, Transportation & Marketing | Gas & Power | Corporate and other business | Eliminations | Total | |
Sales revenues | 71,440 | 100,328 | 13,960 | 617 | (75,635) | 110,710 |
Intersegments | 70,184 | 1,777 | 3,345 | 329 | (75,635) | − |
Third parties | 1,256 | 98,551 | 10,615 | 288 | − | 110,710 |
Cost of sales | (29,667) | (88,246) | (8,748) | (609) | 73,565 | (53,705) |
Gross profit | 41,773 | 12,082 | 5,212 | 8 | (2,070) | 57,005 |
Expenses | (2,408) | (2,752) | (3,499) | (1,441) | (29) | (10,129) |
Selling | (26) | (2,135) | (3,537) | (15) | (29) | (5,742) |
General and administrative | (150) | (204) | (82) | (935) | − | (1,371) |
Exploration costs | (1,005) | − | − | − | − | (1,005) |
Research and development | (568) | (9) | (62) | (136) | − | (775) |
Other taxes | (119) | (127) | (130) | 115 | − | (261) |
Impairment | (34) | − | (440) | (23) | − | (497) |
Other income and expenses | (506) | (277) | 752 | (447) | − | (478) |
Net income (loss) before financial results and income taxes | 39,365 | 9,330 | 1,713 | (1,433) | (2,099) | 46,876 |
Net finance income (expenses) | − | − | − | 10,776 | − | 10,776 |
Results in equity-accounted investments | 174 | 2,736 | 175 | 2,220 | − | 5,305 |
Net Income (loss) before income taxes | 39,539 | 12,066 | 1,888 | 11,563 | (2,099) | 62,957 |
Income taxes | (13,385) | (3,172) | (583) | (3,490) | 714 | (19,916) |
Net income (loss) of the period | 26,154 | 8,894 | 1,305 | 8,073 | (1,385) | 43,041 |
Attributable to: | ||||||
Shareholders of Petrobras | 26,162 | 8,894 | 1,174 | 8,010 | (1,385) | 42,855 |
Non-controlling interests | (8) | − | 131 | 63 | − | 186 |
26,154 | 8,894 | 1,305 | 8,073 | (1,385) | 43,041 |
Consolidated Statement of Income by operating segment - Jan-Jun/2022
Exploration and Production | Refining, Transportation & Marketing | Gas & Power | Corporate and other business | Eliminations | Total | |
Sales revenues | 210,608 | 285,905 | 36,045 | 1,401 | (221,358) | 312,601 |
Intersegments | 207,178 | 4,707 | 9,461 | 12 | (221,358) | − |
Third parties | 3,430 | 281,198 | 26,584 | 1,389 | − | 312,601 |
Cost of sales | (80,340) | (244,062) | (26,949) | (1,378) | 210,755 | (141,974) |
Gross profit | 130,268 | 41,843 | 9,096 | 23 | (10,603) | 170,627 |
Expenses | 12,299 | (6,944) | (8,624) | (7,247) | (41) | (10,557) |
Selling | (29) | (4,406) | (7,789) | (30) | (41) | (12,295) |
General and administrative | (129) | (404) | (169) | (2,446) | − | (3,148) |
Exploration costs | (604) | − | − | − | − | (604) |
Research and development | (1,848) | (23) | (17) | (273) | − | (2,161) |
Other taxes | (193) | (129) | (94) | (350) | − | (766) |
Impairment | (618) | (222) | 3 | (6) | − | (843) |
Other income and expenses | 15,720 | (1,760) | (558) | (4,142) | − | 9,260 |
Net income (loss) before financial results and income taxes | 142,567 | 34,899 | 472 | (7,224) | (10,644) | 160,070 |
Net finance income (expenses) | − | − | − | (12,774) | − | (12,774) |
Results in equity-accounted investments | 539 | 941 | 292 | (10) | − | 1,762 |
Net Income (loss) before income taxes | 143,106 | 35,840 | 764 | (20,008) | (10,644) | 149,058 |
Income taxes | (48,473) | (11,866) | (160) | 7,089 | 3,619 | (49,791) |
Net income (loss) of the period | 94,633 | 23,974 | 604 | (12,919) | (7,025) | 99,267 |
Attributable to: | ||||||
Shareholders of Petrobras | 94,644 | 23,974 | 335 | (13,037) | (7,025) | 98,891 |
Non-controlling interests | (11) | − | 269 | 118 | − | 376 |
94,633 | 23,974 | 604 | (12,919) | (7,025) | 99,267 |
24 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
Consolidated Statement of Income by operating segment - Jan-Jun/2021
Exploration and Production | Refining, Transportation & Marketing | Gas & Power | Corporate and other business | Eliminations | Total | |
Sales revenues | 135,392 | 177,069 | 26,047 | 1,453 | (143,077) | 196,884 |
Intersegments | 132,967 | 3,059 | 6,371 | 680 | (143,077) | − |
Third parties | 2,425 | 174,010 | 19,676 | 773 | − | 196,884 |
Cost of sales | (58,303) | (153,221) | (16,019) | (1,432) | 133,129 | (95,846) |
Gross profit | 77,089 | 23,848 | 10,028 | 21 | (9,948) | 101,038 |
Expenses | (5,296) | (4,938) | (7,602) | (3,384) | (57) | (21,277) |
Selling | (27) | (3,974) | (6,838) | (44) | (57) | (10,940) |
General and administrative | (328) | (384) | (176) | (1,979) | − | (2,867) |
Exploration costs | (2,201) | − | − | − | − | (2,201) |
Research and development | (1,035) | (20) | (89) | (270) | − | (1,414) |
Other taxes | (210) | (347) | (257) | (28) | − | (842) |
Impairment | (572) | − | (440) | 7 | − | (1,005) |
Other income and expenses | (923) | (213) | 198 | (1,070) | − | (2,008) |
Net income (loss) before financial results and income taxes | 71,793 | 18,910 | 2,426 | (3,363) | (10,005) | 79,761 |
Net finance income (expenses) | − | − | − | (19,972) | − | (19,972) |
Results in equity-accounted investments | 300 | 3,352 | 390 | 2,282 | − | 6,324 |
Net Income (loss) before income taxes | 72,093 | 22,262 | 2,816 | (21,053) | (10,005) | 66,113 |
Income taxes | (24,410) | (6,429) | (825) | 6,466 | 3,402 | (21,796) |
Net income (loss) of the period | 47,683 | 15,833 | 1,991 | (14,587) | (6,603) | 44,317 |
Attributable to: | ||||||
Shareholders of Petrobras | 47,695 | 15,833 | 1,732 | (14,635) | (6,603) | 44,022 |
Non-controlling interests | (12) | − | 259 | 48 | − | 295 |
47,683 | 15,833 | 1,991 | (14,587) | (6,603) | 44,317 |
The balance of depreciation, depletion and amortization by business segment is shown below:
Exploration and Production | Refining, Transportation & Marketing | Gas & Power | Corporate and other business | Total | |
Apr-Jun/2022 | 13,701 | 2,662 | 481 | 152 | 16,996 |
Apr-Jun/2021 | 11,301 | 2,817 | 571 | 239 | 14,928 |
Exploration and Production | Refining, Transportation & Marketing | Gas & Power | Corporate and other business | Total | |
Jan-Jun/2022 | 26,642 | 5,653 | 1,043 | 262 | 33,600 |
Jan-Jun/2021 | 23,173 | 5,767 | 1,153 | 465 | 30,558 |
9. | Trade and other receivables |
9.1. | Trade and other receivables, net |
Consolidated | ||
06.30.2022 | 12.31.2021 | |
Receivables from contracts with customers | ||
Third parties | 28,417 | 27,005 |
Related parties | ||
Investees (note 28.4) | 1,590 | 2,152 |
Subtotal | 30,007 | 29,157 |
Other trade receivables | ||
Third parties | ||
Receivables from divestments (*) | 5,631 | 14,951 |
Lease receivables | 2,182 | 2,428 |
Other receivables | 3,871 | 4,866 |
Related parties | ||
Petroleum and alcohol accounts - receivables from Brazilian Government | 3,051 | 2,822 |
Subtotal | 14,735 | 25,067 |
Total trade receivables | 44,742 | 54,224 |
Expected credit losses (ECL) - Third parties | (7,873) | (7,971) |
Expected credit losses (ECL) - Related parties | (47) | (112) |
Total trade receivables, net | 36,822 | 46,141 |
Current | 26,443 | 35,538 |
Non-current | 10,379 | 10,603 |
(*) On June 30, 2022, refers mainly to the amount receivable for the divestment of Rio Ventura, Roncador, Baúna, Miranga, Maromba, Pampo and Enchova, Sépia and Atapu. |
Accounts receivable are classified in the amortized cost category, except for certain receivables with final price formation after the transfer of control of products that depend on the variation in the value of the commodity, classified in the category fair value through profit or loss, whose value on June 30, 2022 totaled R$4,057 (R$6,445 as of December 31, 2021).
25 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
The balance of receivables from divestments decreased mainly due to the receipt of US$ 950 million (R$ 5,066), from the sale of interest in the exploration block BM-S-8 and the receipt of US$ 1 billion (R$ 5,549) from Nova Transportadora do Sudeste (NTS), referring to the last installment of the sale of 90% of Petrobras shares, partially offset by other receivables recorded in the period, arising from the Atapu and Sépia Co-participation Agreement of R$650 and that of Pampo and Enchova of R$654.
9.2. | Aging of trade and other receivables - third parties |
Consolidated | ||||
06.30.2022 | 12.31.2021 | |||
Trade receivables | Expected credit losses (ECL) | Trade receivables | Expected credit losses (ECL) | |
Current | 30,877 | (408) | 39,392 | (428) |
Overdue: | ||||
Until 3 months | 975 | (180) | 1,214 | (144) |
3 - 6 months | 125 | (120) | 221 | (36) |
6 - 12 months | 117 | (94) | 286 | (164) |
More than 12 months | 8,007 | (7,071) | 8,137 | (7,199) |
Total | 40,101 | (7,873) | 49,250 | (7,971) |
9.3. | Changes in provision for expected credit losses |
Consolidated | ||
2022 Jan-Jun | 2021 Jan-Jun | |
Opening balance | 8,083 | 8,293 |
Additions | 370 | 225 |
Reversals | (196) | (402) |
Write-offs | (104) | (4) |
Cumulative translation adjustment | (233) | (142) |
Closing balance | 7,920 | 7,970 |
Current | 994 | 994 |
Non-current | 6,926 | 6,976 |
10. | Inventories |
Consolidated | ||
06.30.2022 | 12.31.2021 | |
Crude oil | 20,874 | 17,012 |
Oil products | 17,035 | 13,922 |
Intermediate products | 3,323 | 2,967 |
Natural gas and LNG (*) | 3,230 | 1,946 |
Biofuels | 123 | 106 |
Fertilizers | 8 | 43 |
Total products | 44,593 | 35,996 |
Materials, supplies and others | 5,229 | 4,490 |
Total | 49,822 | 40,486 |
(*) Liquefied Natural Gas |
Consolidated inventories are presented net of losses for adjustment to their net realizable value, these adjustments being mainly due to fluctuations in international oil prices and their derivatives and, they are recognized in the statement of income for the period as cost of sales. In the period from January to June 2022, there was a provision of R$15 (reversal of R$5 in the period from January to June 2021).
On June 30, 2022, the company had a volume of oil and/or derivatives of inventories given as guarantee of the Financial Commitment Terms - TCF, signed in 2008 with Petros, in the amount of R$ 16,831. This guarantee amount is in the process of revaluation due to the partial early settlement of the TCF Pension Difference and TCF Pre-70, carried out in February 2022, and its value is estimated at R$ 5,775, meeting the contractual condition of coverage of the debt with the TCFs.
26 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
11. | Taxes |
11.1. | Income tax and social contribution |
Current taxes
Income tax and social contribution | Consolidated | |||||
Current assets | Current liabilities | Non-current liabilities | ||||
06.30.2022 | 12.31.2021 | 06.30.2022 | 12.31.2021 | 06.30.2022 | 12.31.2021 | |
Taxes in Brazil | ||||||
Income taxes | 731 | 745 | 8,290 | 3,803 | − | − |
Income taxes - Tax settlement programs | − | − | 246 | 241 | 1,626 | 1,676 |
731 | 745 | 8,536 | 4,044 | 1,626 | 1,676 | |
Taxes abroad | 13 | 166 | 1,529 | 45 | − | − |
Total | 744 | 911 | 10,065 | 4,089 | 1,626 | 1,676 |
Reconciliation between statutory tax rate and effective tax expense rate
The reconciliation of taxes calculated according to nominal rates and the amount of registered taxes are shown below:
Consolidated | ||||
2022 | 2021 | |||
Apr-Jun | Jan-Jun | Apr-Jun | Jan-Jun | |
Net income before income taxes | 80,677 | 149,058 | 62,957 | 66,113 |
Nominal income taxes computed based on Brazilian statutory corporate tax rates (34%) | (27,430) | (50,680) | (21,405) | (22,478) |
Adjustments to arrive at the effective tax rate: | ||||
Interest on capital | 1,899 | 1,895 | − | (1) |
Different jurisdictional tax rates for companies abroad | 1,009 | 2,043 | (469) | (354) |
Brazilian income taxes on income of companies incorporated outside Brazil (*) | (1,613) | (3,155) | 13 | (1,143) |
Tax loss carryforwards (unrecognized tax losses) | (48) | (36) | 48 | (118) |
Non-taxable income (non-deductible expenses), net (**) | 185 | 319 | 1,062 | 1,291 |
Post-retirement benefit | (218) | (940) | (242) | (484) |
Results of equity-accounted investments in Brazil and abroad | (12) | 621 | 1,077 | 1,490 |
Others | 35 | 142 | − | 1 |
Income tax expenses | (26,193) | (49,791) | (19,916) | (21,796) |
Deferred income taxes | (136) | (10,271) | (19,396) | (20,627) |
Current income taxes | (26,057) | (39,520) | (520) | (1,169) |
Effective tax rate of income taxes | 32,5% | 33.4% | 31.6% | 33.0% |
(*) Income tax and social contribution in Brazil referring to income earned in the years by investees abroad, according to provisions provided for in Law No. 12,973 / 2014. | ||||
(**) Includes effect on judicial agreements. |
Deferred income taxes - non-current
The table below shows the composition and basis for realization of deferred tax assets and liabilities:
Nature | Basis for realization | 06.30.2022 | 12.31.2021 | |||||
Property, plant and equipment - Cost of prospecting and dismantling areas | Depreciation, Amortization and Write-off of Assets | (4,089) | (7,601) | |||||
Property, plant and equipment - Impairment | Amortization, Write-off of Assets and Impairment Reversal | 24,322 | 24,455 | |||||
Property, plant and equipment - Depreciation, accelerated and linear x unit produced and capitalized charges | Depreciation, Amortization and Write-off of Assets | (80,983) | (72,123) | |||||
Loans, accounts receivable / payable and financing | Payments, Receipts and Consideration | 7,428 | 19,475 | |||||
Leases | Appropriation of consideration | 3,085 | 6,942 | |||||
Provision for lawsuits | Payment and reversal of the provision | 3,963 | 3,378 | |||||
Tax losses | Compensation of 30% of taxable income | 3,369 | 10,193 | |||||
Inventories | Sale, Write-Off and Loss | 1,782 | 1,271 | |||||
Employee benefits, mainly pension plan | Payment and reversal of the provision | 6,369 | 6,976 | |||||
Others | 1,508 | 3,548 | ||||||
Total | (33.246) | (3.486) | ||||||
Deferred income taxes - assets | 2,869 | 3,371 | ||||||
Deferred income taxes - liabilities (*) | (36,115) | (6,857) | ||||||
(*) The balance of deferred tax liabilities increased in the period, mainly due to the offsetting of tax losses and negative basis of social contribution, use of the benefit of accelerated tax depreciation and the appreciation of the real against the dollar. | ||||||||
27 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
The table below shows the movement in the periods:
Consolidated | ||
2022 | 2021 | |
Jan-Jun | Jan-Jun | |
Opening balance | (3,486) | 32,509 |
Recognized in income of the period | (10,271) | (20,627) |
Recognized in shareholders' equity | (13,656) | (11,313) |
Cummulative Translation Adjustment | (31) | (2) |
Use of tax credits | (5,819) | − |
Others | 17 | 8 |
Final balance | (33,246) | 575 |
11.2. | Other taxes |
Consolidated
Other taxes | Current assets | Non-current assets | Current liabilities | Non-current liabilities (*) | ||||
06.30.2022 | 12.31.2021 | 06.30.2022 | 12.31.2021 | 06.30.2022 | 12.31.2021 | 06.30.2022 | 12.31.2021 | |
Taxes in Brazil: | ||||||||
Current / Deferred VAT Rate (VAT) | 3,740 | 3,712 | 2,033 | 2,114 | 3,937 | 5,554 | − | − |
Current / Deferred PIS and COFINS (**) | 1,686 | 2,330 | 12,253 | 11,329 | 1,545 | 2,786 | 344 | 251 |
PIS and COFINS - Law 9,718/98 | − | − | 3,366 | 3,313 | − | − | − | − |
CIDE | 5 | 31 | − | − | 135 | 235 | − | − |
Production taxes/Royalties | − | − | − | 12,897 | 11,984 | 117 | 117 | |
Withholding income taxes | − | − | − | − | 292 | 481 | − | − |
Tax settlement programs | − | − | − | − | 260 | 374 | 36 | 36 |
Others | 218 | 272 | 1,409 | 1,393 | 586 | 781 | 421 | 392 |
Total in Brazil | 5,649 | 6,345 | 19,061 | 18,149 | 19,652 | 22,195 | 918 | 796 |
Taxes abroad | 283 | 255 | 48 | 48 | 170 | 130 | − | − |
Total | 5,932 | 6,600 | 19,109 | 18,197 | 19,822 | 22,325 | 918 | 796 |
(*) Other non-current liabilities are classified as other liabilities. | ||||||||
(**) As of June 30, 2022, includes R$394 (R$576 as of December 31, 2021) in current assets, referring to the exclusion of VAT tax in the PIS and COFINS calculation basis. |
PIS and COFINS Law 9,718/98
The company filed common actions against the Federal Government referring to the recovery of amounts paid as PIS/COFINS on financial income and active exchange variations, considering the unconstitutionality of §1 of art. 3 of Law 9,718/98, in the periods between February 1999 and January 2004.
All actions were upheld with a final and unappealable decision. Currently, two actions are in the precatory stage, with values as claimed by the company. Regarding the two remaining cases, both have favorable reports, and in one of them, the Union has already expressed its agreement.
As of June 30, 2022, the amount monetarily restated is R$3,366 (R$3,313 as of December 31, 2021).
12. | Employee benefits |
Employee benefits are all forms of consideration given by an entity in exchange for service rendered by employees or for the termination of employment. It also includes expenses with directors and other managers. Such benefits include salaries, post-employment benefits, termination benefits and other benefits.
Consolidated | ||
06.30.2022 | 12.31.2021 | |
Liabilities | ||
Short-term employee benefits | 6,182 | 7,197 |
Termination benefits | 1,174 | 1,950 |
Post-retirement benefits | 49,569 | 55,130 |
Total | 56,925 | 64,277 |
Current | 10,511 | 11,967 |
Non-current | 46,414 | 52,310 |
12.1.Short-term benefits
Short-term benefits are employee benefits (other than termination benefits) that are expected to be settled wholly before twelve months after the end of the reporting period in which the employees render the related service.
28 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
Consolidated | ||||
06.30.2022 | 12.31.2021 | |||
Variable compensation program - PPP | 1,426 | 2,574 | ||
Accrued vacation and Christmas bonus | 3,144 | 2,453 | ||
Salaries and related charges and other provisions | 1,276 | 1,505 | ||
Profit sharing | 336 | 665 | ||
Total | 6,182 | 7,197 | ||
Current | 6,167 | 7,178 | ||
Non-current (*) | 15 | 19 |
(*) Refers to the balance of the deferral for 4 years of 40% of the PPP portion of the administrators.
In the period from January to June, in relation to short-term benefits, the company recognized the following amounts in the income statement:
Consolidated | ||||
2022 | 2021 | |||
Apr-Jun | Jan-Jun | Apr-Jun | Jan-Jun | |
Costs/Expenses in the statement of income | ||||
Salaries, vacation, christmas bonus, charges over provisions and others | 3,836 | 7,365 | 3,482 | 7,061 |
Variable compensation program | 638 | 1,256 | 534 | 1,062 |
Profit sharing (*) | 168 | 329 | 157 | 314 |
Manager compensations and charges | 11 | 26 | 14 | 33 |
Total | 4,653 | 8,976 | 4,187 | 8,470 |
(*) In 2022, it includes R$ 4 of profit sharing reversal of 2021. |
12.1.1 Variable compensation program
Performance award program (PPP)
On September 17, 2021, the Board of Directors (CA) approved an adjustment to the criteria for granting the 2021 variable compensation program to employees. The PPP 2021 model presents, in addition to the net income for the year, the declaration and payment of remuneration to shareholders for the year in reference approved by the Board of Directors.
On December 15, 2021, the Board of Directors approved the PPP 2022 for employees. The criteria of the PPP 2021 model for activating the program were maintained.
From January to June 2022, the company:
i. paid R$2,428 (R$2,286 in the parent company) referring to the PPP 2021, considering compliance with the company's performance metrics and the individual performance of all employees; and
ii. provisioned R$1,256 (R$1,192 in the parent company) referring to the PPP 2022, recorded in other operating expenses.
Profit Sharing (PLR)
On December 29, 2020, the 17 labor unions representing employees of onshore bases signed the agreement for PLR 2021/2022, within the period determined by the Collective Bargaining Agreement (ACT). Among the maritime bases, three labor union entities signed the agreement within the deadline defined by the ACT.
The PLR 2021/2022 regulation, approved by the Secretariat for Coordination and Governance of State-owned Companies (Sest), of the Federal Government, covers employees who do not occupy remunerated functions and provides for individual limits according to the participants' remuneration. In order for the PLR to be activated in 2021 and 2022, in addition to the PLR agreement having been signed, the following triggers/requirements must be met: i) approval of the distribution of dividends by the Annual General Meeting (AGO); ii) calculation of net income in the reference year; and iii) achievement of the average percentage, weighted by weight, of the set of indicators' targets of at least 80%.
The maximum amount of PLR to be distributed is limited to 5% of Adjusted EBITDA, to 6.25% of net income and to 25% of dividends distributed to shareholders, in each year, whichever is lower.
From January to June 2022:
i. the company paid R$659 (R$593 in the parent company), referring to PLR 2021, and
ii. provisioned R$ 333 (R$ 300 in the parent company) referring to the 2022 PLR, recorded in other operating expenses.
29 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
12.2. Termination benefits
These are those provided by the termination of the employment contract as a result of: i) the entity's decision to terminate the employee's employment relationship before the normal retirement date; or ii) employee's decision to accept an offer of benefits in exchange for termination of employment.
The company has voluntary termination programs (PDV), incentive retirement (PAI), specific termination programs for the corporate segment and for employees assigned to units in the process of divestment, which basically provide for the same legal and indemnity benefits.
Transpetro launched a new voluntary termination program for seafarers. Enrollment took place between May 4, 2022 and July 14, 2022 and the maximum deadline for termination of employees who join the program is December 3, 2022.
Considering the set of programs, there are 11,539 adhesions accumulated until June 30, 2022 (11,418 adhesions until December 31, 2021).
The change in the provision as of June 30, 2022 is shown below:
Consolidated | ||
Jan-Jun 2022 | Jan-Jun 2021 | |
Opening Balance | 1,950 | 4,678 |
Effects in the statement of income | 29 | (43) |
Enrollments | 25 | 141 |
Revision of provisions | 4 | (184) |
Effect in cash and cash equivalents | (805) | (667) |
Use due to termination | (805) | (667) |
Saldo final | 1,174 | 3,968 |
Current | 647 | 3,425 |
Non Current | 527 | 543 |
The recognition of the provision for expenses with the retirement programs occurs as the employees join.
The company deferred the payment of indemnities in two installments, the first at the time of termination, together with the legal severance payments, and the second, when applicable, 12 months after the payment of the first installment.
As of June 30, 2022, of the total provisioned, the amount of R$252 corresponds to the second installment of 852 terminated employees and the amount of R$922 corresponds to 1,807 employees enrolled in the voluntary termination programs scheduled to leave by December 2023.
12.3.Post-employment benefits
The Company maintains a health care plan for its employees in Brazil (active and retiree) and their dependents, and five other major types of post-retirement pension benefits (collectively referred to as "pension plans").
The balances related to post-employment benefits granted to employees are shown below:
Consolidated | ||||
06.30.2022 | 12.31.2021 | |||
Liabilities | ||||
Health Care Plan AMS: Saúde Petrobras | 25,764 | 25,029 | ||
Petros Pension Plan - Renegotiated (PPSP-R) | 16,248 | 18,042 | ||
Petros Pension Plan - Non-renegotiated (PPSP-NR) | 3,674 | 3,672 | ||
Petros Pension Plan - Renegotiated - Pre-70 (PPSP-R Pré 70) | 1,569 | 4,557 | ||
Petros Pension Plan - Non-renegotiated - Pre-70 (PPSP-NR Pré 70) | 1,306 | 2,851 | ||
Petros 2 Pension Plan (PP-2) | 1,005 | 918 | ||
Other plans | 3 | 61 | ||
Total | 49,569 | 55,130 | ||
Current | 3,697 | 3,632 | ||
Non-current | 45,872 | 51,498 | ||
30 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
Health Care Plan
The health care plan, named "AMS Plan - Saúde Petrobras" by the beneficiaries, is managed by the Petrobras Health Association (APS), a non-profit civil association and includes prevention and health care programs.
Benefits are paid by the Company based on the costs incurred by the participants. The financial participation of the Company and the beneficiaries on the expenses is established in the collective bargaining agreement (ACT), being 60% (sixty percent) by the company and 40% (forty percent) by the participants.
Pension plans
The Company's post-retirement plans are managed by Petros Foundation (Fundação Petrobras de Seguridade Social), a nonprofit legal entity governed by private law with administrative and financial autonomy.
The net obligation with pension plans recorded by the company has a different recognition methodology than that applicable to pension funds, regulated by the Conselho Nacional de Previdência Complementar.
The main differences in accounting practices adopted in Brazil (CNPC and CVM) between the Pension Fund and the Sponsor for calculating the actuarial commitment on December 31, 2021 are shown below:
PPSP-R (*) | PPSP-NR (*) | |
Accumulated deficit according to CNPC - Petros Foundation | 7,746 | 776 |
Financial assumptions (interest rate and inflation) | (6,252) | (2,033) |
Ordinary and extraordinary sponsor contributions | 12,223 | 3,636 |
Changes in value of plan assets (**) | 8,074 | 3,029 |
Others (calculation methodology, etc.) | 808 | 1,115 |
Net actuarial liability according to CVM - Sponsor Company | 22,599 | 6,523 |
(*) Includes the balance of the PPSP-R Pre-70 and PPSP-NR Pre-70 plans.
(**) Includes balance of accounts receivable arising from the Financial Commitment Term - TCF signed with Petrobras, which Petros recognizes as equity.
On March 28, 2022, the Petros Deliberative Council approved the financial statements of the pension plans for the year ended on December 31, 2021, sponsored by the company.
12.3.1 Amounts in the financial statements related to defined benefit plans
Represents the company's obligation, net of collateral assets when applicable, discounted to present value and calculated annually by an independent actuary, in accordance with the methodology established in IAS 19/CPC 33 (R1) - Employee Benefits, approved by CVM Deliberation No. 695/2012.
The movement of obligations with pension and health plans with a defined benefit feature is shown below:
Consolidated | ||||||
Pension plans | Health Care Plan | Other plans | ||||
PPSP-R (*) | PPSP-NR (*) | PP2 | AMS - Saúde Petrobras | Total | ||
Balance on December 31, 2021 | 22,599 | 6,523 | 918 | 25,029 | 61 | 55,130 |
Recognized in income - cost and expenses | 1,183 | 374 | 83 | 1,570 | − | 3,210 |
Current service cost | 25 | 3 | 34 | 270 | − | 332 |
Interest cost, net | 1,158 | 371 | 49 | 1,300 | − | 2,878 |
Cash effects | (5,965) | (1,917) | − | (839) | − | (8,721) |
Contributions paid | (728) | (243) | − | (839) | − | (1,810) |
Payments related to Term of financial commitment (TFC) | (5,237) | (1,674) | − | − | − | (6,911) |
Other changes | − | − | 4 | 4 | (58) | (50) |
Balance of actuarial liability as of June 30, 2022 | 17,817 | 4,980 | 1,005 | 25,764 | 3 | 49,569 |
(*) It includes the balance of PPSP-R pre-70 and PPSP-NR pre-70. |
31 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
Pension plans | Health Care | Other plans | ||||
PPSP-R (*) | PPSP-NR (*) | PP2 | AMS - Saúde Petrobras | Total | ||
Balance on December 31, 2020 | 39,102 | 14,012 | 2,477 | 27,836 | 76 | 83,503 |
Recognized in income - cost and expenses | 1,339 | 471 | 197 | 1,424 | 3 | 3,434 |
Costs incurred in the period | (5) | (1) | − | − | − | (6) |
- Present value of the obligation | (3,672) | (168) | − | − | − | (3,840) |
- Value of guarantor asset - transfer to equity in PP3 | 2,494 | 114 | − | − | − | 2,608 |
- Sponsor's contribution to PP3 | 1,173 | 53 | − | − | − | 1,226 |
Current service cost | 24 | − | 105 | 446 | − | 575 |
Net interest cost | 1,222 | 443 | 92 | 978 | 3 | 2,738 |
Interest on the obligations with contribution for the revision of the lump sum death benefit | 98 | 29 | − | − | − | 127 |
Recognized in Equity - other comprehensive income | (6,885) | (1,769) | − | − | 8 | (8,646) |
Remeasurement: (Gains) / Actuarial losses | (6,885) | (1,769) | − | − | 8 | (8,646) |
Cash effects | (5,082) | (2,838) | − | (838) | (1) | (8,759) |
Contributions paid | (705) | (214) | − | (838) | (1) | (1,758) |
Payments of obligations with contribution for the revision of the lump sum death benefit (**) | (1,797) | (536) | − | − | − | (2,333) |
Payments related to Term of financial commitment (TFC) | (2,580) | (2,088) | − | − | − | (4,668) |
Other changes | − | − | − | − | (7) | (7) |
Balance on June 30,2021 | 28,474 | 9,876 | 2,674 | 28,422 | 79 | 69,525 |
(*) It includes the balance of PPSP-R pre-70 and PPSP-NR pre-70. | ||||||
(**) On June 30, 2021, the Company prepaid the debt balance of R$2.25 billion. |
The net expense with pension and health plans is presented below:
Pension plans | Health Care Plan | Other plans | ||||
PPSP-R (*) | PPSP-NR (*) | PP2 | AMS - Saúde Petrobras | Total | ||
Related to active employees (cost and expenses) | 91 | 15 | 47 | 570 | − | 723 |
Related to retired employees (other income and expenses) | 1,092 | 359 | 36 | 1,000 | − | 2,487 |
Expense in the statement of income - Jan-Jun/2022 | 1,183 | 374 | 83 | 1,570 | − | 3,210 |
Related to active employees (cost and expenses) | 147 | 23 | 159 | 742 | 1,071 | |
Related to retired employees (other income and expenses) | 1,094 | 419 | 38 | 682 | 3 | 2,236 |
Obligations with contribution for the revision of the lump sum death benefit | 98 | 29 | − | − | 127 | |
Expense in the statement of income - Jan-Jun/2021 | 1,339 | 471 | 197 | 1,424 | 3 | 3,434 |
(*) It includes amounts of PPSP-R pre-70 and PPSP-NR pre-70 |
Pension plans | Health Care Plan | Other plans | ||||
PPSP-R (*) | PPSP-NR (*) | PP2 | AMS - Saúde Petrobras | Total | ||
Related to active employees (cost and expenses) | 46 | 8 | 23 | 283 | − | 360 |
Related to retired employees (other income and expenses) | 546 | 179 | 18 | 502 | − | 1,245 |
Expense in the statement of income - Abr-Jun/2022 | 592 | 187 | 41 | 785 | − | 1,605 |
Related to active employees (cost and expenses) | 75 | 10 | 79 | 371 | (1) | 534 |
Related to retired employees (other income and expenses) | 543 | 209 | 19 | 341 | 3 | 1,115 |
Obligations with contribution for the revision of the lump sum death benefit | 46 | 13 | − | − | − | 59 |
Expense in the statement of income - Abr-Jun/2021 | 664 | 232 | 98 | 712 | 2 | 1,708 |
(*) It includes amounts of PPSP-R pre-70 and PPSP-NR pre-70 |
12.3.2. Contributions
In the period from January to June 2022, the company contributed a total of R$8,721 to the defined benefit plans, which reduced the balance of obligations, as shown in Note 12.3.1. Of this amount, it includes the partial early settlement of the Financial Commitment Term, in the amount of R$6,882, carried out on February 25, 2022.
Additionally, there was a contribution of R$ 458 (R$ 411 for the period from January to June 2021) to the defined contribution portion of the PP2 plan and R$ 4 of the PP3 plan, which were recognized in costs and income for the year.
The collection of contributions to the PP3 plan began in August 2021.
13. | Provisions for legal proceedings |
13.1 Provisions for legal proceedings, judicial deposits and contingent liabilities
The company sets up provisions in judicial, administrative and arbitration proceedings in an amount sufficient to cover losses considered probable and for which a reliable estimate can be made. The main actions refer to:
32 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
· | Labor lawsuits, highlighting: (i) individual actions to review the methodology for calculating the Minimum Remuneration by Level and Regime (RMNR); and (ii) outsourced actions. |
· | Tax proceedings, including: (i) non-approval of federal tax offsets; (ii) fines for non-compliance with ancillary obligations; and (iii) non-payment of fuel CIDE on propane and butane imports. |
· | Civil proceedings, in particular: (i) claims involving contracts; (ii) collection of royalties and production taxes, including royalties on shale extraction; and (iii) fines imposed by the ANP related to measurement systems. |
· | Environmental lawsuits, in particular: (i) fines related to the environmental accident that occurred in 2000 in the State of Paraná; (ii) fines related to the company's offshore operation; and (iii) public civil action for oil spill in 2004 in Serra do Mar/SP State Park. |
Provisions for legal proceedings are set out as follows:
Consolidated | ||
Non-current liabilities | 06.30.2022 | 12.31.2021 |
Labor claims | 4,038 | 3,995 |
Tax claims | 2,019 | 1,705 |
Civil claims | 5,674 | 4,581 |
Environmental claims | 1,195 | 982 |
Total | 12,926 | 11,263 |
Consolidated | ||
2022 Jan-Jun | 2021 Jan-Jun | |
Opening Balance | 11,263 | 11,427 |
Additions, net of reversals | 2,011 | 993 |
Use of provision | (1,135) | (1,404) |
Accruals and charges | 812 | 97 |
Others | (25) | 31 |
Closing balance | 12,926 | 11,144 |
In the preparation of the interim financial information for the period ended on June 30, 2022, the Company considered all available information concerning legal proceedings in which the Company is a defendant, in order to estimate the amounts of obligations and probability that outflows of resources will be required.
In the period from January to June 2022, the increase in liabilities arises mainly from changes in the following cases: (i) R$1,017 in the provision for civil litigation involving contractual matters; and (ii) R$197 in the provision for fines for non-compliance with ancillary obligations.
13.2 Judicial deposits
Judicial deposits made in connection with legal proceedings are set out in the table below according to the nature of the corresponding lawsuits:
Consolidated | ||
Non-current assets | 06.30.2022 | 12.31.2021 |
Tax | 36,459 | 32,310 |
Labor | 4,554 | 4,443 |
Civil | 8,930 | 7,113 |
Environmental | 574 | 566 |
Others | 377 | 426 |
Total | 50,894 | 44,858 |
Consolidated | ||
2022 Jan-Jun | 2021 Jan-Jun | |
Opening Balance | 44,858 | 37,838 |
Additions | 4,362 | 2,611 |
Use | (225) | (231) |
Accruals and charges | 1,949 | 410 |
Others | (50) | (77) |
Closing balance | 50,894 | 40,551 |
From January to June 2022, the company made judicial deposits in the amount of R$4,362, including: (i) R$1,432 referring to the unification of fields (Cernambi, Tupi, Tartaruga Verde and Tartaruga Mestiça); (ii) R$680 referring to Corporate Income Tax and Social Contribution Tax for not adding the income of subsidiaries and affiliates domiciled abroad to the parent company's Corporate Income Tax and Social Contribution Tax calculation basis; (iii) R$696 referring to the levy of CIDE and PIS/COFINS related to the charter of platforms; and (iv) R$346 referring to Corporate Income Tax and Social Contribution Tax in the deduction of expenses with Petros.
33 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
13.3 Contingent assets
As of June 30, 2022, the contingent liabilities plus interest and monetary restatement, estimated for legal proceedings, whose probability of loss is considered possible, are presented in the following table:
Consolidated | ||
Nature | 06.30.2022 | 12.31.2021 |
Tax | 148,633 | 138,312 |
Labor | 42,250 | 40,022 |
Civil - General | 35,145 | 31,921 |
Civil - Environmental | 7,088 | 6,652 |
Total | 233,116 | 216,907 |
The main contingent liabilities are:
· | Tax matters comprising: i) withholding income tax (IRRF), Contribution of Intervention in the Economic Domain (CIDE), Social Integration Program (PIS) and Contribution to Social Security Financing (COFINS) on remittances for payments of vessel charters; (ii) income from foreign subsidiaries and associates located outside Brazil not included in the computation of taxable income (Corporate Income Tax and Social Contribution); (iii) requests to compensate federal taxes disallowed by the Brazilian Federal Tax Authority; (iv) collection and crediting of ICMS VAT tax by several states; (v) collection of social security contributions over payments of bonuses, and (vi) collection of custom duties and fines related to imports under the Repetro regime in the Frade consortium. |
· | Labor matters comprising collective actions requiring a review of the methodology by which the minimum compensation based on an employee's position and work schedule (Remuneração Mínima por Nível e Regime - RMNR) is calculated; |
· | Civil lawsuits, highlighting: (i) administrative and legal proceedings that discuss differences in special participations and royalties in different fields; (ii) fines from regulatory agencies; and (iii) claims involving contracts; |
· | Environmental matters with emphasis on indemnities and reparations for environmental damages and fines related to the company's operation. |
In the period from January to June 2022, the increase in contingent liabilities arises mainly from: (i) R$ 11,629 referring to the tax assessment notice for the collection, by joint liability, of customs taxes and fines arising from the importation of goods under the regime of Repetro, for use in the Frade consortium; (ii) R$2,738 referring to administrative and legal proceedings that discuss difference in special participation and royalties in different fields, including unification of fields; (iii) R$2,039 referring to class actions that require a review of the methodology for calculating the Minimum Remuneration by Level and Regime (RMNR); (iv) R$ 1,316 referring to the levy of CIDE and PIS/COFINS related to the chartering of platforms; (v) R$1,071 referring to lawsuits involving ICMS VAT Tax collection on imports in operations with liquefied petroleum gas derived from natural gas. These effects were partially offset mainly by: (vi) R$5,978 for the transfer to remote loss related to the collection of Service Tax (ISS) on services in maritime waters; (vii) R$1,546 for the write-off due to the execution of an agreement and review of amounts in actions on the state monopoly of piped gas services; and (viii) R$990 for the write-off and review of amounts due to favorable decisions in compensation processes not approved.
13.4 RMNR - Minimum Remuneration by Level and Work Regime
There are several lawsuits related to the Minimum Remuneration by Level and Work Regime (RMNR), with the objective of revising its calculation criteria.
The RMNR consists of a guaranteed minimum remuneration for employees, based on salary level, working conditions and geographic location. This compensation policy was created and implemented by Petrobras in 2007 through collective bargaining with union representatives, and approved at employee meetings, being questioned only three years after its implementation.
In 2018, the Superior Labor Court (TST) ruled against the Company, which filed extraordinary appeals against its decision. However, the Federal Supreme Court (STF) suspended the effects of the decision rendered by the TST and determined the national suspension of the ongoing processes related to the RMNR.
On July 29, 2021, a monocratic decision was published in which the Reporting Justice granted the Extraordinary Appeal filed in one of the proceedings to reestablish the judgment that dismissed the copyright requests, accepting the Company's thesis and recognizing the validity of the collective bargaining agreement freely signed between Petrobras and the labor unions, reversing the decision of the TST.
34 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
In February 2022, the judgment of the grievances filed by the plaintiff and several amici curiae began. The judgment is currently underway in the First Panel of the Federal Supreme Court, with 3 votes in favor of the company, confirming that the prevailing understanding is in the sense of recognizing the validity of the collective bargaining agreement freely signed between Petrobras and the unions. Considering that the last minister to speak up requested a view, the trial was suspended pending the presentation of the vote by Minister Vistor.
As of June 30, 2022, there are several lawsuits related to the Minimum Remuneration by Level and Work Regime (RMNR) reflected in the company's interim financial information, R$ 787 of which classified as probable loss, recognized in liabilities as a provision for legal and administrative proceedings , and R$35,022 classified as possible loss.
13.5 Class action and related proceedings
On May 26, 2021, the District Court of Rotterdam ruled that the class action against Petróleo Brasileiro S.A. - Petrobras, Petrobras International Braspetro B.V. (PIB BV), Petrobras Global Finance B.V. (PGF), Petrobras Oil & Gas B.V. (PO&G) and some former Petrobras managers must proceed and that the arbitration clause in Petrobras' Bylaws does not prevent the company's shareholders from having access to the Dutch Judiciary and being represented by the Stichting Petrobras Compensation Foundation. However, investors who have already initiated arbitration against Petrobras or who are parties to legal proceedings in which the applicability of the arbitration clause has been definitively recognized are excluded from the action. The collective action moved to the phase of discussion of the merits issues.
In the Argentine arbitration, in which Petrobras is held liable for an alleged loss of market value of Petrobras shares in Argentina, due to the unfolding of Operation Lava Jato, the appeal filed by Consumidores Financieros Asociación Civil para su Defensa (" Association") has not yet been tried by the Argentine Supreme Court.
As for the criminal action in Argentina related to an alleged fraudulent offer of securities, aggravated by the fact that Petrobras allegedly declared false data in its financial statements prior to 2015, the Court of Appeals overturned, on October 21, 2021, the decision of first instance that had recognized Petrobras' immunity from jurisdiction and recommended that the lower court take some steps to certify whether the company could be considered criminally immune in Argentina for subsequent reassessment of the matter. Petrobras appealed against this decision, but on April 20, 2022 the appeal was not admitted by the Court of Cassation. The Court of Appeals recognized that the Association could not act as a representative of financial consumers, due to the loss of its registration before the competent Argentine bodies, which was also the subject of an appeal, still pending judgment. Petrobras presented other procedural defenses, which are still subject to appeals before the Argentine Court of Appeal. This criminal action is being processed before the Economic Criminal Court No. 2 of the City of Buenos Aires.
Regarding the other criminal action, for alleged non-compliance with the obligation to publish as a "material fact" in the Argentine market that there was a class action brought by Consumers Financieros Asociación Civil para su Defensa before the Commercial Court, there were no relevant events in the period from January to June 2022.
13.6 Arbitrations in Brazil
In the period from January to June 2022, there were no events that changed the assessment and information about arbitrations in Brazil.
13.7 Legal proceedings - Compulsory Loan - Eletrobras
During the period from January to June 2022, there were no events that modified the evaluation of this process.
13.8 Lawsuits brought by Natural Gas Distributors and others
During the period from January to June 2022, Petrobras obtained, in the Superior Court of Justice, the suspension of the preliminary decision obtained by CEGÁS, which granted the extension of its gas supply contract for 6 months. The injunction that had been obtained by the State of Santa Catarina and that had extended, until April 2022, the price of the gas supply contract that was terminated on December 31, 2021, was revoked in a judgment handed down on June 29, 2022.
14. | Provision for decommissioning costs |
The following table details the amount of the decommissioning provision by production area:
35 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
Consolidated | ||
06.30.2022 | 12.31.2021 | |
Onshore | 2,618 | 4,868 |
Shallow Waters | 20,082 | 20,825 |
Deep and ultra-deep post-salt | 44,055 | 46,989 |
Pre-salt | 14,298 | 14,478 |
Total | 81,053 | 87,160 |
Consolidated | ||
2022 Jan-Jun | 2021 Jan-Jun | |
Opening balance | 87,160 | 97,595 |
Adjustment to provision | 194 | 28 |
Transfers related to liabilities held for sale (*) | (5,473) | (1,933) |
Payments made | (2,052) | (1,743) |
Interest accrued | 1,249 | 1,972 |
Others | (25) | (15) |
Total | 81,053 | 95,904 |
(*) In the period from January to June 2022, refers to transfers of R$507 related to the Golfinho and Camarupim Poles, in Espírito Santo, R$1,841 related to the Albacora Leste Field, in Rio de Janeiro, R$165 related to the Capixaba North Pole, in Espírito Santo, and R$ 2,960 related to the Potiguar Pole, in Rio Grande do Norte, as per explanatory note 22. In 2021, it refers to transfers of R$ 595 related to the Peroá Pole, in Espírito Santo , R$530 related to the Miranga Complex, in Bahia, and R$808 related to the Alagoas Complex, in Alagoas.
15. | Property, plant and equipment |
15.1 | By class of assets |
Consolidated | Parent | ||||||
Land, buildings and improvement | Equipment and other assets (*) | Assets under construction (**) | Exploration and development costs (oil and gas producing properties) (***) | Right-of-use assets | Total | Total | |
Balance at December 31, 2021 | 13,302 | 296,471 | 94,430 | 200,046 | 95,157 | 699,406 | 717,355 |
Accumulated cost | 22,770 | 547,365 | 144,831 | 345,470 | 147,222 | 1,207,658 | 1,154,481 |
Accumulated depreciation and impairment (****) | (9,468) | (250,894) | (50,401) | (145,424) | (52,065) | (508,252) | (437,126) |
Additions | − | 2,229 | 16,262 | 42 | 15,996 | 34,529 | 33,534 |
Additions to / review of estimates of decommissioning costs | − | − | − | 54 | − | 54 | − |
Capitalized borrowing costs | − | − | 2,687 | − | − | 2,687 | 2,656 |
Signing bonus transfer (*****) | − | − | − | 4,242 | − | 4,242 | 4,242 |
Write-offs | (1) | (3,592) | (4,811) | (3,012) | (6,884) | (18,300) | (18,006) |
Transfers | 321 | 8,963 | (20,898) | 12,053 | − | 439 | 373 |
Transfers to assets held for sale | (78) | (9,272) | (1,743) | (6,266) | (38) | (17,397) | (16,826) |
Depreciation, amortization and depletion | (224) | (12,015) | − | (13,570) | (11,484) | (37,293) | (38,833) |
Impairment recognition (note 17) | − | (241) | (91) | (212) | − | (544) | (505) |
Impairment reversal (note 17) | − | 62 | 9 | 57 | − | 128 | 127 |
Cumulative translation adjustment | (3) | (13) | (430) | (78) | (4) | (528) | − |
Balance at June 30, 2022 | 13,317 | 282,592 | 85,415 | 193,356 | 92,743 | 667,423 | 684,117 |
Accumulated cost | 22,564 | 535,190 | 134,005 | 337,430 | 146,509 | 1,175,698 | 1,123,374 |
Accumulated depreciation and impairment (****) | (9,247) | (252,598) | (48,590) | (144,074) | (53,766) | (508,275) | (439,257) |
Weighted average useful life in years | 40 (25 to 50) (except land) | 20 (3 to 31) | Units of production method | 8 (2 to 47) | |||
36 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
Consolidated | Parent | ||||||
Land, buildings and improvement | Equipment and other assets (*) | Assets under construction (**) | Exploration and development costs (oil and gas producing properties) (***) | Right-of-use assets | Total | Total | |
Balance at December 31, 2020 | 15,812 | 304,940 | 80,255 | 161,958 | 82,469 | 645,434 | 670,088 |
Additions | 1 | 3,870 | 15,298 | 4 | 5,834 | 25,007 | 28,318 |
Additions to / review of estimates of decommissioning costs | − | − | − | (7) | − | (7) | − |
Capitalized borrowing costs | − | − | 2,555 | − | − | 2,555 | 2,527 |
Business combination | (1) | − | − | − | − | (1) | − |
Write-offs | (2) | (241) | (863) | (79) | (369) | (1,554) | (1,563) |
Transfers | 57 | 3,838 | (14,491) | 11,012 | (9) | 407 | (302) |
Transfers to assets held for sale | − | (5,929) | (874) | (1,343) | 12 | (8,134) | (8,151) |
Depreciation, amortization and depletion | (310) | (10,800) | − | (10,800) | (11,101) | (33,011) | (35,525) |
Impairment recognition | − | (1,007) | − | (46) | − | (1,053) | (1,053) |
Impairment reversal | − | 210 | 153 | 97 | − | 460 | 308 |
Cumulative translation adjustment | (3) | 34 | (266) | (17) | (2) | (254) | − |
Balance at June 30, 2021 | 15,554 | 294,915 | 81,767 | 160,779 | 76,834 | 629,849 | 654,647 |
Accumulated cost | 23,735 | 554,159 | 142,176 | 317,840 | 125,157 | 1,163,067 | 1,115,389 |
Accumulated depreciation and impairment (****) | (8,181) | (259,244) | (60,409) | (157,061) | (48,323) | (533,218) | (460,742) |
(*) Comprised of production platforms, refineries, thermoelectric plants, gas treatment units, pipelines and other operating, storage and production facilities, including subsea equipment for the production and flow of oil and gas depreciated using the units of production method.
(**) The balances by business segment are presented in Note 21.
(***) Comprises exploration and production assets related to wells, abandonment of areas, signature bonuses associated with proved reserves and other expenses directly linked to exploration and production, except production platforms (oil and gas producing fields).
(****) In the case of land and assets under construction, it refers only to impairment losses.
(*****) Transfer of Intangible assets referring to the Atapu and Sépia fields.
The rights-of-use comprise the following underlying assets:
Consolidated | Parent Company | |||||
Platforms | Vessels | Buildings and others | Total | Total | ||
06.30.2022 | ||||||
Accumulated cost | 72,046 | 65,127 | 9,336 | 146,509 | 159,645 | |
Accumulated depreciation and impairment | (20,451) | (30,655) | (2,660) | (53,766) | (56,461) | |
Total | 51,595 | 34,472 | 6,676 | 92,743 | 103,184 | |
12.31.2021 | ||||||
Accumulated cost | 74,562 | 62,875 | 9,785 | 147,222 | 160,538 | |
Accumulated depreciation and impairment | (19,652) | (29,410) | (3,003) | (52,065) | (54,117) | |
Total | 54,910 | 33,465 | 6,782 | 95,157 | 106,421 | |
15.2 Production Individualization Agreements
Petrobras has Production Individualization Agreements (AIP) signed in Brazil with partner companies in E&P consortia, as well as contracts resulting from divestment operations and strategic partnerships linked to these consortia. These agreements will result in equalizations payable or receivable of expenses and production volumes related to the Atapu, Berbigão, Sururu, Albacora Leste, Tartaruga Verde and others.
The following table shows the movement of amounts payable related to AIPs submitted for approval by the ANP, classified in the trade payables account, reflecting the best available estimate of the assumptions used in the calculation of the calculation basis and the sharing of relevant assets in areas to be equalized:
2022 Jan-Jun | 2021 Jan-Jun | |
Initial balance | 2,033 | 1,925 |
Additions/(write-offs) in Property, Plant and Equipment | (192) | (352) |
Other operating (income) expenses | 49 | 288 |
Final balance | 1,890 | 1,861 |
15.3 Capitalization rate used to determine the amount of borrowing costs eligible for capitalization
The weighted average rate of financial charges used to determine the amount of borrowing costs without a specific destination, to be capitalized as an integral part of assets under construction, was 6.56% p.a. in the period from January to June 2022 (6.08% p.a. in the period from January to June 2021).
37 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
16. | Intangible assets |
16.1 | By class of assets |
Consolidated | Parent Company | ||||
Rights and Concessions (*) | Software | Goodwill | Total | Total | |
Balance at December 31, 2021 | 15,037 | 1,719 | 123 | 16,879 | 16,682 |
Accumulated Cost | 15,312 | 7,373 | 123 | 22,808 | 21,769 |
Accumulated amortization and impairment | (275) | (5,654) | − | (5,929) | (5,087) |
Addition | 4,260 | 438 | − | 4,698 | 4,670 |
Capitalized borrowing costs | − | 21 | − | 21 | 21 |
Write-offs | (50) | (4) | − | (54) | (5) |
Transfers | (54) | (3) | − | (57) | (58) |
Transfer of signature bônus (**) | (4,242) | − | − | (4,242) | (4,242) |
Amortization | (9) | (178) | − | (187) | (178) |
Impairment accrual | − | (6) | − | (6) | − |
Cumulative translation adjustment | (10) | − | − | (10) | − |
Balance at June 30, 2022 | 14,932 | 1,987 | 123 | 17,042 | 16,890 |
Accumulated Cost | 15,216 | 7,786 | 123 | 23,125 | 22,150 |
Accumulated amortization and impairment | (284) | (5,799) | − | (6,083) | (5,260) |
Estimated useful life in years | (***) | 5 | Indefinite |
Consolidated | Parent Company | ||||
Rights and Concessions (*) | Software | Goodwill | Total | Total | |
Balance at December 31, 2020 | 76,464 | 1,089 | 125 | 77,678 | 77,258 |
Addition | 66 | 300 | − | 366 | 338 |
Capitalized borrowing costs | − | 9 | − | 9 | 9 |
Write-offs | (34) | (3) | − | (37) | (31) |
Transfers | (227) | 14 | − | (213) | (195) |
Amortization | (18) | (144) | − | (162) | (145) |
Cumulative translation adjustment | (2) | − | − | (2) | − |
Balance at June 30, 2021 | 76,249 | 1,265 | 125 | 77,639 | 77,234 |
Accumulated Cost | 76,716 | 6,756 | 125 | 83,597 | 82,208 |
Accumulated amortization and impairment | (467) | (5,491) | − | (5,958) | (4,974) |
(*) Comprised mainly of signature bonuses, paid in concession contracts for oil or natural gas exploration and production sharing, in addition to public service concessions, trademarks and patents and others.
(**) Transfer to property, plant and equipment referring to Atapu and Sépia fields.
(***) Comprised mainly of assets with an indefinite useful life, whose valuation is reviewed annually to determine whether it remains justifiable.
16.2 | Surpluses from Transfer of Rights |
Búzios
The expenses incurred by Petrobras in the ordinary operations of the auctioned area for the benefit of the consortium, carried out prior to the start of the Buzios Coparticipation Agreement, and not included in the total amount of compensation, in the updated amount of R$ 319, were reimbursed to Petrobras by the partners CNODC Brasil Petróleo e Gás Ltda (CNODC) and CNOOC Petroleum Brasil Ltda (CPBL) in February 2022.
Additionally, on March 4, 2022, Petrobras signed an agreement with its partner CPBL for the transfer of 5% of its interest in the Production Sharing Agreement for the Excess Volume of the Assignment Agreement for the Búzios field, in the pre-salt layer of Santos basin. The agreement results from the share purchase option exercised by CPBL on September 29, 2021.
The amount to be received in cash by Petrobras at the closing of the transaction is US$ 2,120 million, referring to the compensation and reimbursement of the signature bonus for the additional participation of CPBL, subject to the usual adjustments in this type of contract between the base date and the closing date and compliance with conditions precedent, such as authorization by the Administrative Council for Economic Defense (CADE), recommendation for approval of the Assignment by the National Agency of Petroleum, Natural Gas and Biofuels (ANP) and approval by the Ministry of Mines and Energy ( MME).
After the completion of the transaction, Petrobras will hold an 85% interest in the Production Sharing Agreement for the Excess Volume of the Assignment Agreement for the Búzios field, CPBL will hold a 10% interest and CNODC, 5%. The total interest in this Búzios Co-participation Agreement, including the installments of the Assignment Agreement and the BS-500 Concession Agreement (100% of Petrobras) will be 88.99% of Petrobras, 7.34% of CPBL and 3,67% of CNODC.
As of June 30, 2022, the assets and liabilities related to the agreement to transfer 5% of the interest are classified as held for sale.
38 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
Atapu and Sepia
On April 27, 2022, Petrobras entered into the Production Sharing Agreement for the Surplus Volumes of the Assignment of Atapu in partnership with Shell Brasil Petróleo Ltda (Shell - 25%) and TotalEnergies EP Brasil Ltda. (TotalEnergies - 22.5%), and the Production Sharing Agreement for the Surplus Volumes of the Sepia Assignment, in consortium with the companies TotalEnergies (28%), Petronas Petróleo Brasil Ltda. (Petronas - 21%) and QP Brasil Ltda. (QP - 21%). These agreements are linked to the 2nd bidding round for the Surplus of the Transfer of Rights in the Production Sharing regime, which took place on December 17, 2021.
The Co-participation Agreements (Agreements) and the Addendums to the Agreement for the Individualization of Atapu and Sepia Production (AIPs), necessary to manage the coincident deposits contained in the area of the Assignment Agreement and in the area of the Production Sharing Agreement of the Surplus Transfer of Rights, were also concluded on April 27, 2022.
The compensations owed to Petrobras for Atapu and Sépia, which includes a preliminary estimate of the gross up of the taxes levied, under the terms of Ordinance No. 08 of April 19, 2021 from the MME, were paid by the partners on April 13, 26 and 27, 2022, amounting to R$9,960 in the Atapu compensation and R$14,552 in the Sépia compensation.
The Agreements came into force on May 2, 2022, after the attestation by Pré-Sal Petróleo S.A (PPSA) as to the contractors' compliance with the payment of compensation, as established in Ordinance No. 519 of May 21, 2021.
On the effective date of the Agreements, the property, plant and equipment and intangible assets associated with the Atapu and Sépia fields were partially written off, in exchange for financial compensation, resulting in a transaction similar to a sale.
The company calculated the amount of R$ 650, of which R$ 300 for Atapu and R$ 350 for Sépia, resulting from the difference between the preliminary estimate and the final calculation of the gross up of taxes levied on the net income generated by the transfer of ownership of the Petrobras assets for the Production Sharing regime, as provided for in Ordinance No. 08, mentioned above. This amount was received by Petrobras in July 2022 from Atapu and Sépia partners.
The consolidated result of the operation, presented in other operating income, was R$14,243, of which R$5,090 from Atapu and R$9,153 from Sepia.
The signature bonus corresponding to the company's participation in the Production Sharing Agreement (Surplus Volumes of the Transfer of Rights) in Sépia was R$ 2,141 and, in Atapu, in the amount of R$ 2,101.
Since it was a special auction, related to the surplus production of fields with technical and commercial feasibility already defined, the value of the signature bonus paid in the first quarter of 2022 was recognized in property, plant and equipment after the start of the Agreement.
17 | Impairment |
Consolidated | ||||
2022 | 2021 | |||
Apr-Jun | Jan-Jun | Apr-Jun | Jan-Jun | |
Recognition of loss / (reversal) | ||||
Property, plant and equipment | 420 | 416 | 55 | 593 |
Intangible | − | 6 | − | − |
Property, plant and equipment and Intangible | 420 | 422 | 55 | 593 |
Assets held for sale | 427 | 421 | 442 | 412 |
847 | 843 | 497 | 1,005 | |
Investments | 13 | 57 | (2,140) | (1,948) |
Net effect in the statement of income | 860 | 900 | (1,643) | (943) |
Recognition of loss | 1,052 | 1,105 | 832 | 1,712 |
Loss reversal | (192) | (205) | (2,475) | (2,655) |
The company assesses the recoverability of assets annually or when there is an indication of devaluation. In the period from January to June 2022, net losses due to devaluation in the amount of R$ 843 were recognized in the statement of income, mainly due to the following reasons:
· | Permanent stoppage of the P-35 platform in the Marlim field, which led to the exclusion of this asset from the CGU Polo Norte and classification as an isolated asset, with the recognition of losses due to devaluation in the amount of R$ 262; |
39 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
· | Approval of the sale of the Golfinho Complex, which comprises the fields of Golfinho, an oil producer, and Canapu, a producer of non-associated gas, and the exploratory block BM-ES-23. As a result of this operation, the company assessed the recoverability of the book value of the assets of the Complex, considering the fair value net of selling expenses, which resulted in the recognition of impairment losses in the amount of R$258; |
· | Approval of the sale of the Northeast Lubricants and Petroleum Derivatives Refinery (LUBNOR), in the state of Ceará, which led to its exclusion from RTM CGU and classification as an isolated asset. As a result of this operation, the company assessed the recoverability of the book value of the refinery, considering the fair value net of selling expenses, which resulted in the recognition of impairment losses in the amount of R$ 222. |
In the period from January to June 2021, net losses due to devaluation in the amount of R$ 1,005 were recognized in the statement of income, mainly due to the following reasons:
· | Permanent stoppage of platforms P-33 and P-26 in the Marlim field, which led to the exclusion of these assets from the CGU Polo Norte and classification as isolated assets, with the recognition of losses due to devaluation in the amount of R$ 1,031; |
· | Approval of the sale of the Arembepe, Muryci and Bahia 1 Thermoelectric Power Plants, located in Camaçari, in the state of Bahia. As a result of this transaction, the company assessed the recoverability of the book value of the Thermoelectric Power Plants, considering the fair value net of selling expenses, which resulted in the recognition of impairment losses in the amount of R$441; |
· | Evaluation of the recoverability of the book value of production field assets, considering the fair value net of selling expenses, which resulted in a reversal of impairment losses in the amount of R$ 308, mainly due to the approval of the sale of the concession of Papa Terra, located in the Campos Basin (Rio de Janeiro), in the amount of R$ 208; |
· | Relocation of equipment from platforms P-72 and P-73 to producing fields in the Santos Basin. As a result, considering the expectation of future cash generation, it recognized a reversal of impairment losses in the amount of R$151. |
17.1 | Investment in an associate with shares traded on stock exchanges (Petrobras Distribuidora S.A. - BR) |
On August 26, 2020, the Board of Directors of Petrobras approved the process of divestment of its entire interest in Petrobras Distribuidora. On June 30, 2021, the Board of Directors approved the price per common share issued by Petrobras Distribuidora S.A., in the amount of R$ 26.00, within the scope of the public offering of secondary distribution of Shares held by Petrobras, resulting in an amount of sale of R$11,264, net of transaction costs.
The evaluation of the recoverability of the investment based on the cash flow from the sale resulted in the recognition of reversals of net impairment losses, in the period from January to June 2021, in the amount of R$ 2,019.
18 | Exploration and evaluation of oil and gas reserves |
Changes in capitalized costs related to exploratory wells and the balances of amounts paid for obtaining rights and concessions for oil and natural gas exploration, both directly related to exploratory activities in unproved reserves, are presented in the following table:
Consolidated | ||
Capitalized Exploratory Well Costs / Capitalized Acquisition Costs (*) | 2022 Jan-Jun | 2021 Jan-Jun |
Property plant and equipment | ||
Opening Balance | 11,127 | 15,716 |
Additions | 486 | 1,194 |
Write-offs | (72) | (965) |
Transfers | (210) | (780) |
Cumulative translation adjustment | (37) | (22) |
Closing Balance | 11,294 | 15,143 |
Intangible Assets | 14,322 | 75,320 |
Capitalized Exploratory Well Costs / Capitalized Acquisition Costs | 25,616 | 90,463 |
(*) Amounts capitalized and subsequently expensed in the same period have been excluded from this table. | ||
40 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
Exploration costs recognized in the statement of income and cash flows used related to oil and gas exploration and evaluation activities are set out in the following table:
Consolidated | ||||
2022 | 2021 | |||
Exploration costs recognized in the statement of income | Apr-Jun | Jan-Jun | Apr-Jun | Jan-Jun |
Geological and geophysical expenses | 403 | 681 | 460 | 829 |
Exploration expenditures written off (includes dry wells and signature bonuses) | 341 | 455 | 296 | 1,036 |
Contractual penalties (*) | (545) | (536) | 149 | 233 |
Other exploration expenses | (3) | 4 | 100 | 103 |
196 | 604 | 1,005 | 2,201 | |
Cash used in: | ||||
Operating activities | 400 | 685 | 560 | 932 |
Investment activities | 4,452 | 4,847 | 687 | 1,315 |
4,852 | 5,532 | 1,247 | 2,247 | |
(*) Petrobras made a reversal of R$639 on the provision related to contractual penalties for local content on June 30, 2022, as described in note 30.
19 | Collateral for crude oil exploration concession agreements |
The Company has granted collateral to ANP in connection with the performance of the Minimum Exploration Programs established in the concession agreements for petroleum exploration areas in the total amount of R$ 10,021 of which R$ 10,021 were still in force, net of commitments undertaken. The collateral comprises crude oil from previously identified producing fields, pledged as collateral, amounting to R$ 6,933 and bank guarantees of R$ 3,088.
20 | Investments |
20.1 | Changes in investment (Parent Company) |
Controlled companies | Joint operations | Jointly controlled companies | Associates (*) | Total | |
Balance at December 31, 2021 | 264,102 | 180 | 109 | 5,434 | 269,825 |
Investments | 9 | − | 74 | − | 83 |
Transfers to held for sale | (9) | − | − | (282) | (291) |
Restructuring, capital decrease and others | (517) | − | − | 5 | (512) |
Results in equity-accounted investments (**) | 11,379 | 30 | 65 | 922 | 12,396 |
Cumulative translation adjustments | (16,557) | − | − | (517) | (17,074) |
Other comprehensive income | 189 | − | 2 | 764 | 955 |
Dividends | (722) | (80) | (23) | (505) | (1,330) |
Balance at June 30, 2022 | 257,874 | 130 | 227 | 5,821 | 264,052 |
Controlled companies | Joint operations | Jointly controlled companies | Associates (*) | Total | |
Balance at December 31, 2020 | 228,777 | 164 | 237 | 12,697 | 241,875 |
Investments | 110 | − | 27 | − | 137 |
Transfers to held for sale | − | − | (11) | (11,264) | (11,275) |
Restructuring, capital decrease and others | 637 | − | − | (931) | (294) |
Results in equity-accounted investments | 3,421 | 23 | 43 | 5,735 | 9,222 |
Cumulative translation adjustments | (9,121) | − | 14 | (381) | (9,488) |
Other comprehensive income | 119 | − | (1) | 733 | 851 |
Dividends | (795) | (34) | (26) | (816) | (1,671) |
Balance at June 30, 2021 | 223,148 | 153 | 283 | 5,773 | 229,357 |
(*) Includes Braskem and other investments | |||||
(**) In the income statement, it includes the results of companies classified as held for sale in the amount of R$ 62 on June 30, 2022. |
41 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
20.2 | Changes in investment (Consolidated) |
Jointly controlled companies | Associates (*) | Total | |||
Balance at December 31, 2021 | 2,839 | 5,588 | 8,427 | ||
Investments | 74 | 29 | 103 | ||
Transfers to held for sale | − | (282) | (282) | ||
Restructuring, capital decrease and others | − | (69) | (69) | ||
Results in equity-accounted investments | 792 | 970 | 1,762 | ||
Cumulative translation adjustments | (151) | (525) | (676) | ||
Other comprehensive income | 2 | 764 | 766 | ||
Dividends | (533) | (505) | (1,038) | ||
Balance at June 30, 2022 | 3,023 | 5,970 | 8,993 |
Jointly controlled companies | Associates (*) | Total | |||
Balance at December 31, 2020 | 4,232 | 12,778 | 17,010 | ||
Investments | 28 | 39 | 67 | ||
Transfers to held for sale | (11) | (11,264) | (11,275) | ||
Restructuring, capital decrease and others | (1) | (926) | (927) | ||
Results in equity-accounted investments | 583 | 5,741 | 6,324 | ||
Cumulative translation adjustments | (86) | (387) | (473) | ||
Other comprehensive income | (1) | 733 | 732 | ||
Dividends | (344) | (818) | (1,162) | ||
Balance at June 30, 2021 | 4,400 | 5,896 | 10,296 | ||
(*) Includes Braskem and other investments. |
21 | Assets by operating segment |
The segmented information reflects the evaluation structure of senior management in relation to performance and the allocation of resources to the business.
Consolidated assets by operating segment - 06.30.2022 | ||||||
Exploration and Production | Refining, Transportation & Marketing | Gas & Power | Corporate | Eliminations | Total | |
Current assets | 46,159 | 95,125 | 15,868 | 111,979 | (44,346) | 224,785 |
Non-current assets | 568,855 | 122,083 | 39,966 | 49,065 | − | 779,969 |
Long-term receivables | 30,979 | 14,147 | 3,364 | 38,021 | − | 86,511 |
Investments | 2,121 | 5,894 | 818 | 160 | − | 8,993 |
Property, plant and equipment | 521,057 | 101,490 | 35,389 | 9,487 | − | 667,423 |
Operating assets | 462,787 | 86,563 | 24,822 | 7,836 | − | 582,008 |
Under construction | 58,270 | 14,927 | 10,567 | 1,651 | − | 85,415 |
Intangible assets | 14,698 | 552 | 395 | 1,397 | − | 17,042 |
Total Assets | 615,014 | 217,208 | 55,834 | 161,044 | (44,346) | 1,004,754 |
Consolidated assets by operating segment - 12.31.2021 | ||||||
Exploration and Production | Refining, Transportation & Marketing | Gas & Power | Corporate | Eliminations | Total | |
Current assets | 33,672 | 70,822 | 21,418 | 73,995 | (31,660) | 168,247 |
Non-current assets | 597,740 | 121,076 | 37,669 | 48,220 | (1) | 804,704 |
Long-term receivables | 28,136 | 12,342 | 1,795 | 37,720 | (1) | 79,992 |
Investments | 2,194 | 5,412 | 662 | 159 | − | 8,427 |
Property, plant and equipment | 552,654 | 102,788 | 34,829 | 9,135 | − | 699,406 |
Operating assets | 486,676 | 89,770 | 20,868 | 7,662 | − | 604,976 |
Under construction | 65,978 | 13,018 | 13,961 | 1,473 | − | 94,430 |
Intangible assets | 14,756 | 534 | 383 | 1,206 | − | 16,879 |
Total Assets | 631,412 | 191,898 | 59,087 | 122,215 | (31,661) | 972,951 |
22 | Disposal of assets and other changes in organizational structure |
The Company has an active partnership and divestment portfolio, which takes into account opportunities for disposal of non-strategic assets in several areas in which it operates, whose development of transactions also depends on conditions beyond the control of the Company.
The divestment projects and strategic partnerships follow the procedures aligned with the guidelines of the Brazilian Federal Auditor's Office (Tribunal de Contas da União - TCU) and the current legislation.
The major classes of assets and related liabilities classified as held for sale are shown in the following table:
42 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
Consolidated | ||||||
06.30.2022 | 12.31.2021 | |||||
E&P | RT&M | Gas & Power | Corporate and other segments | Total | Total | |
Assets classified as held for sale | ||||||
Cash and Cash Equivalents | − | − | 37 | − | 37 | 72 |
Trade receivables | − | − | 202 | − | 202 | 175 |
Inventories | − | 433 | 4 | − | 437 | 408 |
Investments | 1 | 282 | 1,419 | 9 | 1,711 | 1,599 |
Property, plant and equipment | 26,321 | 842 | 4 | 9 | 27,176 | 11,023 |
Others | − | 13 | 764 | − | 777 | 618 |
Total | 26,322 | 1,570 | 2,430 | 18 | 30,340 | 13,895 |
Liabilities on assets classified as held for sale | ||||||
Trade Payables | − | − | 7 | − | 7 | 9 |
Finance debt | − | − | − | 185 | 185 | 5 |
Provision for decommissioning costs | 9,198 | − | − | − | 9,198 | 4,646 |
Others | − | − | 156 | − | 156 | 180 |
Total | 9,198 | − | 163 | 185 | 9,546 | 4,840 |
22.1Transactions pending closing at June 30, 2022
In operations carried out in previous periods, the main assets and liabilities classified as held for sale include: (i) total interest in the Peroá Complex; (ii) total interest in the Papa-Terra production field; (iii) onshore fields in Bahia, Ceará, Espírito Santo and Sergipe; (iv) Gaspetro; (iv) REMAN Refinery; (v) Unidade de Industrialização do Xisto (Shale Industrialization Unit) - SIX; and (vi) additional interest of 5% related to Surpluses from Rights' Assignment - Búzios (explanatory note 16.2 - Intangible assets).
In relation to the divestment in REMAN, on March 8, 2022, the Administrative Council for Economic Defense (CADE) published a statement declaring the Concentration Act complex and ordering the performance of due diligence related to the process of sale of the REMAN refinery to Ream Participações S.A., whose agreement was signed in August 2021. The Concentration Act process requires diligencies related to a more in-depth analysis of the transaction. Completion of this process is expected to take place between 240 and 330 days from November 2021. Petrobras is collaborating with CADE to obtain approval for the transaction within the legal deadline.
The sale of 51% of Petrobras Gás S.A. (Gaspetro) was concluded on July 11, 2022, as described in Note 30 - Subsequent Events.
Additionally, in the period from January to June 2022, new agreements were signed and, together with the operations carried out in previous periods, comprise the assets and liabilities held for sale on June 30, 2022. The new agreements are demonstrated as follows:
Transaction | Buyer | Approval date for signature | Amount (*) | Conditions and deadlines for receipt and other information |
Sale of the entire interest in a set of 22 concessions for onshore and shallow water production fields, together with their processing, refining, logistics, storage, transport and outflow of oil and natural gas infrastructure, located in the Potiguar Basin, in the state of Rio Grande do Norte, jointly called Potiguar Pole. | 3R Potiguar S.A., wholly-owned company of 3R Petroleum Óleo e Gás S.A. | Jan/2022 | US$ 1,385 million | a |
Sale of the entire interest in a set of four concessions of onshore production fields, with integrated facilities, located in the state of Espírito Santo, jointly called Norte Capixaba Pole. | Seacrest Petróleo SPE Norte Capixaba Ltda., wholly-owned company of Seacrest Exploração e Produção de Petróleo Ltda. | Feb/2022 | US$ 478 million | b |
Sale of the entire interest in the Albacora Leste concession, located predominantly in deep waters in the Campos Basin. | Petro Rio Jaguar Petróleo Ltda. (PetroRio), associated company of Petro Rio S.A. | Apr/2022 | US$ 1,951 million | c |
Sale of the entire interest (27.88%) in Deten Química S.A (Deten), located in the industrial hub of Camaçari, in the state of Bahia. | Cepsa Química S.A. | Apr/2022 | 585 | d |
Sale of the Lubrificantes e Derivados de Petróleo do Nordeste (LUBNOR) refinery and associated logistics assets, located in the state of Ceará. | Grepar Participações Ltda. | May/2022 | US$ 34 million | e |
Sale of the total interest in the sets of maritime concessions called Golfinho Pole and Camarupim Pole, in deep waters in the post-salt, located in the Espírito Santo Basin. | BW Energy Maromba do Brasil Ltda (BWE) | Jun/2022 | US$ 15 million | f |
(*) Transaction value, which does not include contingent assets, when contractually provided. | ||||
It is important to mention that the transaction values do not consider the adjustments due until the closing of the transaction, which are subject to the fulfillment of certain conditions precedent, such as approvals by the ANP and CADE.
43 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
a) Sale of assets of the Potiguar Pole
The conditions and terms of receipt will be as follows: (a) US$ 110 million received on the date of execution of the purchase and sale agreement; (b) US$1.04 billion upon closing of the transaction and (c) US$235 million to be paid in 4 annual installments of US$58.75 million, beginning in March 2024.
b) Sale of assets in the Capixaba North Pole
The conditions and terms of receipt will be as follows: (a) US$ 35.85 million received on the date of execution of the agreement; (b) US$442.15 million at the closing of the transaction and (c) up to US$66 million in contingent payments provided for in contracts, depending on future Brent quotations.
c) Sale of Albacora Leste
Receipt conditions and terms: (a) US$ 292.7 million received on the date of execution of the agreement; (b) US$ 1.66 billion at the closing of the transaction; and (c) up to US$250 million in contingent payments, depending on future Brent prices.
d) Sale of Deten
Conditions and terms of receipt: deposit of 5% of the value on the date of signature of the purchase and sale agreement, which will be deducted from the total amount upon payment.
e) Sale of LUBNOR
Receipt Terms and Conditions: (a) US$3.4 million received on signature date; (b) US$9.6 million to be paid upon closing of the transaction; and (c) US$21 million in deferred payments.
f) Sale of interest in Golfinho and Camarupim Poles
Receipt conditions and terms: (a) US$ 3 million received on the signature date, (b) US$ 12 million to be paid at the closing of the transaction; and (c) up to US$60 million in contingent payments, depending on future Brent prices and asset development.
22.2Completed operations
The main asset sales operations are presented below:
Transaction | Buyer | Signature date (S) and closing date (C) | Sale amount (*) (**) | Closing amount in other currencies (***) | Gain (loss) (****) | Other information |
Sale of the entire interest in a set of seven land and shallow water concessions called Alagoas Pole and the Natural Gas Processing Unit - UPGN of Alagoas | Petromais Global Exploração e Produção S.A., currently Origem Energia S.A. | Jul/2021 Feb/2022 | 1,567 | US$ 300 miillion | 1,738 | a |
Sale of the entire interest in fourteen onshore exploration and production fields, called Recôncavo Pole, located in the state of Bahia | 3R Candeias S.A. subsidiary of 3R Petroleum Óleo e Gás | Dec/2020 May/2022 | 1,298 | US$ 256 million | 1,066 | b |
2,865 | 2,804 | |||||
2.865 | 2.804 | |||||
(*) Amount agreed upon signing the transaction, plus closing price adjustment, when provided for in the contract. | ||||||
(**) The amount of "Receipts from the sale of assets (Disinvestments) in the Statement of Cash Flows" is mainly composed of amounts from the Divestment Program: partial receipt of operations this year, installments of operations from previous years and advances related to unfinished operations. | ||||||
(***) Contractual value and price adjustments of operations traded in a currency other than the Brazilian real. | ||||||
(****) Recognized in "Income from disposals, write-off of assets and result on remeasurement of equity interests" - explanatory note 6 - Other (expenses) net operating income. | ||||||
The operations were concluded after the fulfillment of conditions precedent.
a) Sale of Polo Alagoas assets
The transaction was concluded with the receipt of US$ 60 million on the date of execution of the purchase and sale agreement and US$ 240 million at the closing of the transaction.
44 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
b) Sale of Polo Recôncavo assets
The transaction was concluded with the receipt of US$ 10 million on the date the purchase and sale agreement was signed and US$ 246 million on the closing date of the transaction.
22.3Price adjustments - Transactions completed in previous years
a) Sale of RLAM
On November 30, 2021, Petrobras finalized the sale of its entire interest in Refinaria de Mataripe S.A., the company that owns Refinaria Landulpho Alves (RLAM) to the company MC Brazil Downstream Participações S.A. As part of the negotiation, which provided for a final adjustment of the acquisition price, Petrobras recognized in January 2022 the amount of R$368 (US$68 million) in other operating income.
The amount is still subject to eventual residual adjustment between the parties.
22.4Contingent assets on asset sales
Some asset sales provide for receipts subject to contractual clauses, especially related to the Brent variation in sales related to E&P assets.
The divestments that may generate revenue recognition, recorded in other operating income, are presented below:
Sales | Divestment closing date | At closing of the agreement US$ million | Asset recognized in the period from January to June 2022 | Active recognized in previous periods US$ million | |
US$ million | R$ | ||||
Sales in previous years | |||||
Riacho da Forquilha Pole | Dec/2019 | 62 | 8 | 41 | − |
Pampo and Enchova Poles | Jul/2020 | 650 | 125 | 621 | 36 |
Baúna Field | Nov/2020 | 285 | 95 | 502 | 17 |
Frade Field | Feb/2021 | 20 | − | − | − |
Ventura Pole | Jul2021 | 43 | − | − | 43 |
Miranga Pole | Dec/2021 | 85 | 33 | 164 | 15 |
Cricaré Pole | Dec/2021 | 118 | 20 | 104 | − |
− | − | − | |||
Total | 281 | 1,432 | 111 | ||
22.5Other Operations
On March 23, 2022, the process of closing the company Participações em Complexos Bioenergéticos S.A. - PCBios was concluded, in which Petrobras held 50%. The dissolution and liquidation of PCBios were approved at the company's Extraordinary General Meeting. There were no effects in the statement of income.
23 | Finance debt |
23.1 | Balance by type of finance debt |
Consolidated | ||
06.30.2022 | 12.31.2021 | |
Banking Market | 6,503 | 6,904 |
Capital Market | 14,669 | 13,975 |
Development banks (*) | 4,032 | 4,291 |
Others | 32 | 39 |
Total in Brazil | 25,236 | 25,209 |
Banking Market | 41,464 | 47,573 |
Capital Market | 80,984 | 108,968 |
Export Credit Agency | 14,079 | 16,468 |
Others | 881 | 1,006 |
Total abroad | 137,408 | 174,015 |
Total finance debt | 162,644 | 199,224 |
Current | 21,560 | 20,316 |
Noncurrent | 141,084 | 178,908 |
(*) Includes BNDES, FINAME, and FINEP.
45 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
The amount classified in current liabilities is composed of:
Consolidated | ||
06.30.2022 | 12.31.2021 | |
Short-term debt | 790 | 602 |
Current portion of long-term debt | 18,318 | 17,093 |
Accrued interest on short and long-term debt | 2,452 | 2,621 |
Total | 21,560 | 20,316 |
The capital market balance is mainly composed of R$77,885 in global notes, issued abroad by PGF, and R$13,742 in debentures, issued in Brazil by Petrobras.
The global notes mature between 2024 and 2115 and do not require collateral. Such financing was carried out in dollars, euros and pounds, being 87%, 2% and 11% of the total of global notes, respectively.
The debentures, with maturities between 2022 and 2034 and without guarantees, are not convertible into shares.
As of June 30, 2022, there were no defaults, breaches of covenants (breaches) or adverse changes in clauses that resulted in changes in the payment terms of loan and financing agreements. There was no change in the guarantees required in relation to December 31, 2021.
23.2 | Changes |
Consolidated | |||
Brazil | Abroad | Total | |
Balance at December 31, 2021 | 25,209 | 174,015 | 199,224 |
Proceeds from financing | − | 1,645 | 1,645 |
Repayment of principal (*) | (886) | (25,589) | (26,475) |
Repayment of interest (*) | (646) | (4,091) | (4,737) |
Charges incurred in the period (**) | 1,017 | 4,807 | 5,824 |
Monetary and exchange variations | 542 | (2,766) | (2,224) |
Cumulative translation adjustment | − | (10,613) | (10,613) |
Balance at June 30, 2022 | 25,236 | 137,408 | 162,644 |
Consolidated | |||
Brazil | Abroad | Total | |
Balance at December 31, 2020 | 46,009 | 234,029 | 280,038 |
Proceeds from financing | - | 8,469 | 8,469 |
Repayment of principal (*) | (17,871) | (49,391) | (67,262) |
Repayment of interest (*) | (843) | (5,915) | (6,758) |
Charges incurred in the period (**) | 857 | 7,723 | 8,580 |
Monetary and exchange variations | 687 | (1,081) | (394) |
Cumulative translation adjustment | - | (5,049) | (5,049) |
Balance at June 30, 2021 | 28,839 | 188,785 | 217,624 |
(*) Includes prepaymments. | |||
(**)Includes appropriations of goodwill, discounts and associated transaction costs. |
The company settled several loans and financing, in the amount of R$31,780, highlighting the repurchase and redemption of R$19,547 of securities in the international capital market.
23.3 | Reconciliation with cash flows from financing activities |
2022 | 2021 | |||||
Jan-Jun | Jan-Jun | |||||
Proceeds from financing | Repayment of principal | Repayment of interest | Proceeds from financing | Repayment of principal | Repayment of interest | |
Changes in financing | 1,645 | (26,475) | (4,737) | 8,469 | (67,262) | (6,758) |
Debt reestructuring | − | (538) | − | − | (4,504) | − |
Related deposits (*) | − | (27) | (3) | − | (132) | (29) |
Cash flows from financing activities | 1,645 | (27,040) | (4,740) | 8,469 | (71,898) | (6,787) |
(*)Amounts deposited for payment of obligations related to financing obtained from the China Development Bank (CDB), with semi-annual settlements in June and December. |
46 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
23.4 | Summarized information on current and non-current finance debt |
Consolidated | |||||||||
Maturity in | 2022 | 2023 | 2024 | 2025 | 2026 | 2027 onwards | Total (*) | Fair value | |
Financing in U.S. Dollars (US$)(*): | 8,625 | 13,393 | 17,059 | 13,540 | 8,094 | 63,344 | 124,055 | 123,044 | |
Floating rate debt (**) | 6,532 | 13,393 | 14,012 | 10,128 | 5,988 | 4,700 | 54,753 | ||
Fixed rate debt | 2,093 | − | 3,047 | 3,412 | 2,106 | 58,644 | 69,302 | ||
Average interest rate (p.a) | 5.0% | 6.2% | 6.1% | 6.0% | 6.4% | 6.6% | 6.4% | ||
Financing in Brazilian Reais (R$): | 4,999 | 2,522 | 3,515 | 1,158 | 2,284 | 10,758 | 25,236 | 24,320 | |
Floating rate debt(***) | 3,678 | 1,478 | 1,468 | 725 | 725 | 2,768 | 10,842 | ||
Fixed rate debt | 1,321 | 1,044 | 2,047 | 433 | 1,559 | 7,990 | 14,394 | ||
Average interest rate (p.a) | 6.1% | 5.9% | 5.4% | 4.8% | 4.3% | 4.8% | 5.2% | ||
Financing in Euro (€): | − | 81 | 66 | 1,642 | − | 2,987 | 4,776 | 4,667 | |
Fixed rate debt | − | 81 | 66 | 1,642 | − | 2,987 | 4,776 | ||
Average interest rate (p.a) | - | 4.7% | 4.7% | 4.7% | − | 4.7% | 4.7% | ||
Financing in Pound Sterling (£): | 205 | 83 | − | − | 3,409 | 4,880 | 8,577 | 8,150 | |
Fixed rate debt | 205 | 83 | − | − | 3,409 | 4,880 | 8,577 | ||
Average interest rate (p.a) | 6.2% | 6.2% | − | − | 6.2% | 6.4% | 6.3% | ||
Total on June 30, 2022 | 13,829 | 16,079 | 20,640 | 16,340 | 13,787 | 81,969 | 162,644 | 160,181 | |
Average interest rate (p.a) | 5.3% | 6.1% | 6.0% | 5.8% | 6.0% | 6.5% | 6.3% | − | |
Total on December 31, 2021 | 20,315 | 16,591 | 22,253 | 19,247 | 15,809 | 105,009 | 199,224 | 211,453 | |
Average interest rate (p.a) | 5.2% | 5.3% | 5.5% | 5.6% | 5.9% | 6.5% | 6.2% | − | |
(*)The average maturity of outstanding debt as of June 30, 2022 is 13.04 years (13.39 years as of December 31, 2021). (**) Operation (**) Operations with variable index plus fixed spread. (***) Operations with variable index plus fixed spread, as applicable. | |||||||||
As of June 30, 2022, the fair values of financing are mainly determined by using:
Level 1 - prices quoted in active markets, when applicable, in the amount of R$ 75,436 (R$ 115,906, on December 31, 2021); and
Level 2 - cash flow method discounted by the spot rates interpolated from the indexes (or proxies) of the respective financing, observed to the pegged currencies, and by the credit risk of Petrobras, in the amount of R$ 84,745 (R$ 95,547, on December 31, 2021).
The sensitivity analysis for financial instruments subject to foreign exchange variation is set out in note 27.3.
The nominal (undiscounted) flow of principal and interest on financing, by maturity, is shown below:
Consolidated | ||||||||
Maturity | 2022 | 2023 | 2024 | 2025 | 2026 | 2027 onwards | 06.30.2022 | 12.31.2021 |
Principal | 11,261 | 16,247 | 21,156 | 16,812 | 14,261 | 86,805 | 166,542 | 204,007 |
Interest | 4,886 | 8,721 | 7,796 | 6,511 | 5,838 | 105,230 | 138,982 | 170,524 |
Total (*) | 16,147 | 24,968 | 28,952 | 23,323 | 20,099 | 192,035 | 305,524 | 374,531 |
(*)The nominal flow of leases is found in note 24. . |
23.5 | Lines of credit |
06.30.2022 | |||||||||
Company | Financial institution | Date | Maturity | Available (Lines of Credit) | Used | Balance | |||
Abroad (in US$ million) | |||||||||
PGT BV | Syndicate of banks | 12/16/2021 | 11/16/2026 | 5,000 | − | 5,000 | |||
PGT BV (*) | Syndicate of banks | 03/27/2019 | 02/27/2024 | 3,250 | − | 3,250 | |||
Total | 8,250 | - | 8,250 | ||||||
In Brazil | |||||||||
Petrobras | Banco do Brasil | 03/23/2018 | 09/26/2026 | 2,000 | − | 2,000 | |||
Petrobras | Bradesco | 06/01/2018 | 05/31/2023 | 2,000 | − | 2,000 | |||
Petrobras | Banco do Brasil | 10/04/2018 | 09/05/2025 | 2,000 | − | 2,000 | |||
Transpetro | Caixa Econômica Federal | 11/23/2010 | Not defined | 329 | − | 329 | |||
Total | 6,329 | − | 6,329 | ||||||
(*) In April 2021, PGT extended part of the Revolving Credit Facility. As such, US$2,050 million will be available for withdrawal from February 28, 2024 through February 27, 2026. | |||||||||
24 | Lease liabilities |
Changes in lease agreements recognized as liabilities are shown below:
47 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
Consolidated | |||
Brazil | Abroad | Total | |
Balance at December 31, 2021 | 25,695 | 102,899 | 128,594 |
Remeasurement/New agreements | 4,761 | 2,571 | 7,332 |
Payment of principal and interest | (3,972) | (9,641) | (13,613) |
Charges incurred in the period | 818 | 2,447 | 3,265 |
Monetary and Exchange variation | (830) | (6,413) | (7,243) |
Cumulative translation adjustments | − | (161) | (161) |
Transfers | − | (181) | (181) |
Balance at June 30, 2022 | 26,472 | 91,521 | 117,993 |
Consolidated | |||
Brazil | Abroad | Total | |
Balance at December 31, 2020 | 22,556 | 89,954 | 112,510 |
Remeasurement /Novos contratos | 1,741 | 2,573 | 4,314 |
Payment of principal and interest | (4,042) | (11,531) | (15,573) |
Charges incurred in the period | 582 | 2,646 | 3,228 |
Monetary and Exchange variation | (484) | (2,881) | (3,365) |
Cumulative translation adjustments | − | (91) | (91) |
Transfers | 15 | (93) | (78) |
Balance at June 30, 2021 | 20,368 | 80,577 | 100,945 |
As of June 30, 2022, the lease liability of Petrobras Holding is R$ 126,362 (R$ 138,238 as of December 31, 2021), including leases and subleases with investee companies, mainly vessels with PNBV and Transpetro.
The nominal flow (not discounted) without considering the projected future inflation in the flows of the lease contracts, by maturity, is presented below:
Consolidated | |||||||
Maturity in | 2022 | 2023 | 2024 | 2025 | 2026 | 2027 onwards | Total |
Nominal value on June 30,, 2022 | 14,985 | 24,546 | 18,479 | 13,544 | 10,800 | 80,063 | 162,417 |
Nominal value on December 31, 2021 | 31,077 | 22,011 | 16,895 | 12,885 | 11,004 | 81,520 | 175,392 |
In certain contracts, during the lease term, there are payments that vary due to changes in facts or circumstances that occurred after the commencement date, in addition to the passage of time. Such payments are not included in the measurement of lease obligations. In the period from January to June 2022, these amounts were R$3,023 and represented 22% in relation to fixed payments (R$1,996 and represented 13% in relation to fixed payments in the period from January to June 2021).
In the period from January to June 2022, the company recognized leasing expenses in the amount of R$ 431 (R$ 248 in the period from January to June 2021), referring to contracts with a term of less than one year.
As of June 30, 2022, the nominal value of lease agreements that had not yet been initiated, due to the related assets being under construction or not having been made available for use, represent the amount of R$ 403,659 (R$ 443,967 in 31 December 2021). The reduction basically corresponds to the appreciation of the Real against the U.S Dollar.
The sensitivity analysis of financial instruments subject to exchange variation is presented in Note 27.3.
25 | Equity |
25.1 | Share capital |
As of June 30, 2022 and December 31, 2021, the subscribed and paid-in capital in the amount of R$205,432 is represented by 13,044,496,930 shares, of which 7,442,454,142 are common shares and 5,602,042,788 are preferred shares, all registered, book-entry shares with no par value.
Preferred shares have priority in the case of capital reimbursement, do not guarantee voting rights and are not convertible into common shares.
There are shares held by Petrobras that are held in treasury, represented by 295,669 shares, of which 222,760 are common shares and 72,909 are preferred shares.
48 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
25.2 | Remuneration to shareholders |
Dividends for the year 2021
On April 13, 2022, the Annual Shareholders' Meeting approved dividends for fiscal year 2021, in the amount of R$101,395, corresponding to R$7.773202 per outstanding preferred and common share. This amount includes the anticipation of shareholder remuneration, monetarily restated by the Selic rate variation from the date of payment to December 31, 2021, in the amount of R$64,075, and the complementary dividend of R$37,320 that, on December 31, 2021, was highlighted in shareholders' equity as a proposed additional dividend.
Complementary dividends of R$37,320 were reclassified from shareholders' equity to liabilities on the date of approval of the Annual Shareholders' Meeting and payment approved for May 16, 2022 in the amount of R$38,745, equivalent to R$2.9702487 per outstanding preferred and common share, with the adjustment by the Selic rate variation from December 31, 2021 until the payment date.
Anticipation of dividends for the year 2022
On May 5, 2022, the Board of Directors approved the distribution of remuneration to shareholders in the total amount of R$ 48,466 (R$ 3.715490 per preferred share and common outstanding), based on the result for the period from January to March 2022 (interim) by use of a portion of the profit retention reserve account (intermediate), as shown in the following table:
Remuneration to shareholders | |||
Date of shareholder position | Amount per share common and preferred (R$) | Amount | |
Interim dividends | 05.23.2022 | 2.708577 | 35,331 |
Interim interest on capital | 05.23.2022 | 0.430177 | 5,612 |
Total prepayments based on net income for the period Jan-Mar 2022 | 3.138754 | 40,943 | |
Interim dividends using a portion of the profit retention reserve as of 12.31.2021 | 05.23.2022 | 0.576736 | 7,523 |
Total of remuneration to shareholders | 3.715490 | 48,466 | |
Outstanding preferred shares | 3.715490 | 20,814 | |
Outstanding common shares | 3.715490 | 27,652 |
The dividends and interest on capital were paid in June and July 2022, in two equal installments of R$24,233 (R$1.857745 per outstanding preferred share and common share).
The amount will be monetarily restated, according to the variation of the Selic rate, from the date of the effective payment until the end of said fiscal year, and will be deducted from the remuneration that will be distributed to shareholders at the end of the 2022 fiscal year.
The anticipation of interest on capital for the year 2022 resulted in an income tax and social contribution tax credit of R$1,908. The interest on capital was subject to withholding income tax of 15%, except for immune and exempt shareholders, as established in Law No. 9,249/95.
Dividends payable
On June 30, 2022, the balance of dividends payable, in the amount of R$ 24,233, corresponds to the second installment of the anticipation of dividends for the year 2022. This installment of dividends was paid on July 20, 2022.
49 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
25.3 | Earnings per share |
Consolidated and Parent Company | ||||
2022 | 2021 | |||
Apr-Jun | Jan-Jun | Apr-Jun | Jan-Jun | |
Basic and diluted denominator - Net income (loss) attributable to shareholders of Petrobras attributable equally between share classes | ||||
Net income of the period | ||||
Common | 30,997 | 56,421 | 24,450 | 25,116 |
Preferred | 23,333 | 42,470 | 18,405 | 18,906 |
54,330 | 98,891 | 42,855 | 44,022 | |
Basic and diluted denominator - Weighted average number of outstanding shares (number of shares) | ||||
Common | 7,442,231,382 | 7,442,231,382 | 7,442,231,382 | 7,442,231,382 |
Preferred | 5,601,969,879 | 5,601,969,879 | 5,601,969,879 | 5,601,969,879 |
13,044,201,261 | 13,044,201,261 | 13,044,201,261 | 13,044,201,261 | |
Basic and diluted earnings per share (R$ per share) | ||||
Common | 4.16 | 7.58 | 3.28 | 3.37 |
Preferred | 4.16 | 7.58 | 3.28 | 3.37 |
Basic earnings per share are calculated by dividing the net income (loss) attributable to shareholders of Petrobras by the weighted average number of outstanding shares during the period.
Diluted earnings (losses) per share are calculated by adjusting the net income (loss) and the weighted average number of shares taking into account the effects of all dilutive potential shares (equity instrument or contractual arrangements that are convertible into shares).
Basic and diluted earnings (losses) are identical as the Company has no potential shares in issue.
26 | Fair value of financial assets and liabilities |
Fair value measured based on | ||||
Level I | Level II | Level III | Total fair value recorded | |
Assets | ||||
Marketable securities | 3,256 | − | − | 3,256 |
Commodity derivatives | 206 | 22 | − | 228 |
Balance at June 30, 2022 | 3,462 | 22 | − | 3,484 |
Balance at December 31, 2021 | 3,630 | 128 | − | 3,758 |
Liabilities | ||||
Foreign currency derivatives | − | (1,437) | − | (1,437) |
Interest derivatives | − | (38) | − | (38) |
Balance at June 30, 2022 | − | (1,475) | − | (1,475) |
Balance at December 31, 2021 | (6) | (1,519) | − | (1,525) |
The estimated fair value for the company's financing, calculated at current market rates, is set out in note 23.
Certain receivables are classified as fair value through profit or loss, as presented in note 9.
The fair values of cash and cash equivalents, short-term debt and other financial assets and liabilities are equivalent or do not differ significantly from their carrying amounts.
27 | Risk management |
27.1 | Derivative financial instruments |
The following tables present a summary of the positions held by the company as of June 30, 2022, recognized as other current assets and liabilities, in addition to the amounts recognized in income, other comprehensive income for the period and guarantees given as collateral by nature of the operations:
50 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
Statement of Financial Position | |||||
Fair value | |||||
Notional value | Asset Position (Liability) | Maturity | |||
06.30.2022 | 12.31.2021 | 06.30.2022 | 12.31.2021 | ||
Derivatives not designated for hedge accounting | |||||
Future contracts - total (*) | (3,884) | (1,308) | 206 | (6) | |
Long position/Crude oil and oil products | 5,242 | 1,380 | − | − | 2022 |
Short position/Crude oil and oil products | (9,126) | (2,688) | − | − | 2022 |
Swap (**) | |||||
Long put/ Soybean oil (**) | (13) | (11) | 12 | (2) | 2022 |
Options | |||||
Long put/ Soybean oil (**) | (25) | − | 10 | − | 2022 |
Forward contracts | |||||
Short position/Foreign currency (BRL/USD) (***) | US$ 64 | US$ 15 | (16) | 1 | 2022 |
Short position/Foreign currency (EUR/USD) (***) | EUR 94 | - | (3) | - | 2022 |
Swap | |||||
Foreign currency / Cross-currency Swap (***) | GBP 583 | GBP 583 | (164) | 127 | 2026 |
Foreign currency / Cross-currency Swap (***) | GBP 442 | GBP 442 | (718) | (277) | 2034 |
Swap - IPCA | 3,008 | 3,008 | (38) | (6) | 2029/2034 |
Foreign currency / Cross-currency Swap (***) | US$ 729 | US$ 729 | (536) | (1,234) | 2024/2029 |
Total recognized in the Statement of Financial Position | (1,247) | (1,397) | |||
(*) Notional value in thousands of bbl. | |||||
(**) Notional value in thousands of tons. | |||||
(***) Amounts in US$, EUR (euros) and GBP are presented in million. |
Gains/ (losses) recognized in the statement of income | ||||
2022 | 2021 | |||
Apr-Jun | Jan-Jun | Apr-Jun | Jan-Jun | |
Commodity derivatives | ||||
Other commodity derivative transactions - 27.2 (a) | (809) | (1,091) | (98) | (224) |
Recognized in Other Income and Expenses | (809) | (1,091) | (98) | (224) |
Currency derivatives | ||||
Swap Pounds Sterling x Dollar - 27.3 (b) | (622) | (780) | (158) | (1) |
NDF - Pounds Sterling x Dollar - 27.3 (b) | 25 | 45 | ||
Swap CDI x Dollar - 27.3 (b) | (113) | 766 | 452 | 298 |
Others | (1) | (2) | (2) | 2 |
(736) | (16) | 317 | 344 | |
Interest rate derivatives | ||||
Swap - CDI X IPCA | (78) | (97) | 96 | (58) |
(78) | (97) | 96 | (58) | |
Cash flow hedge on exports (*) | (5,442) | (12,663) | (6,333) | (12,427) |
Recognized in Net finance income (expense) | (6,256) | (12,776) | (5,920) | (12,141) |
Total | (7,065) | (13,867) | (6,018) | (12,365) |
(*) As presented in note 27.3 | ||||
Gains/ (losses) recognized in other comprehensive income | ||||
Apr-Jun | 2022 Jan-Jun | Apr-Jun | 2021 Jan-Jun | |
Cash flow hedge on exports (*) | (26,965) | 40,164 | 49,046 | 24,620 |
(*) As presented in note 27.3 |
51 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
Guarantees given (received) as collateral | ||
06.30.2022 | 12.31.2021 | |
Commodity derivatives | 583 | 86 |
Currency derivatives | 700 | 150 |
1,283 | 236 |
A sensitivity analysis of the derivative financial instruments for the different types of market risks as of June 30, 2022 is set out as follows:
Consolidated | |||||||
Financial Instruments | Risk | Probable Scenario | Possible Scenario (∆ of 25%) | Remote Scenario (∆ of 50%) | |||
Derivatives not designated for hedge accounting | |||||||
Future and Swap contracts | Crude oil and oil products - price changes | − | (1,007) | (2,013) | |||
Future and Swap contracts | Soy oil - price changes | 12 | 38 | 89 | |||
Options | Soy oil - price changes | 10 | 16 | 56 | |||
NDF | Exchange rate - Depreciation of the Real compared to USD | (16) | 95 | 175 | |||
6 | (858) | (1,693) |
The probable scenario uses references external to the Company, widely used in the pricing of cargo in the oil, oil products and natural gas market, which take into account the closing price of the asset on June 30, 2022, and therefore, it is considered that there is no variation in the result of open operations in this scenario. The possible and remote scenarios reflect the potential effect on the result of outstanding transactions, considering a variation in the closing price of 25% and 50%, respectively. To simulate the most unfavorable scenarios, the variation was applied to each product group according to the position of open operations: price drop for long positions and high for short positions.
27.2 | Risk management of crude oil and oil products prices |
Petrobras prefers exposure to the price cycle to the systematic performance of protection of operations of purchase or sale of goods, whose objective is to meet its operational needs, with the use of derivative financial instruments. However, subject to the analysis of the business environment and the prospects for carrying out the Strategic Plan, the execution of an occasional hedging strategy with derivatives may be applicable.
a) Other commodity derivative transactions
Petrobras, using its assets, positions and proprietary and market knowledge from its operations in Brazil and abroad, seeks to capture market opportunities through the purchase and sale of oil and oil products, which can occasionally be optimized with the use of commodity derivative instruments to manage price risk in a safe and controlled manner.
27.3 | Foreign exchange risk management |
a) Cash Flow Hedge involving the Company's future exports
The reference values, at present value, of the hedging instruments as of June 30, 2022, in addition to the expectation of reclassification to the statement of income of the balance of exchange variation accumulated in shareholders' equity in future periods, based on a rate of R$/US$ of 5.2380, are shown below:
Present value of hedging instrument at 06.30.2022 | ||||||||||||
Hedging Instrument | Hedged Transactions | Nature of the Risk | Maturity Date | US$ million | R$ | |||||||
Foreign exchange gains and losses on proportion of non-derivative financial instruments cash flows | Foreign exchange gains and losses of highly probable future monthly exports revenues | Foreign Currency - Real vs U.S. Dollar Spot Rate | From July/2022 to June/2032 | 64,626 | 338,509 | |||||||
52 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
Changes in the present value of hedging instrument (principal and interest) | US$ million | R$ |
Amounts designated as of December 31, 2021 | 72,640 | 405,370 |
Additional hedging relationships designated, designations revoked and hedging instruments re-designated | 6,162 | 32,036 |
Exports affecting the statement of income | (5,794) | (29,264) |
Principal repayments / amortization | (8,382) | (42,533) |
Foreign exchange variation | − | (27,100) |
Amount on June 30, 2022 | 64,626 | 338,509 |
Nominal value of hedging instrument (finance debt and lease liability) on June 30, 2022 | 75,052 | 393,121 |
.
In the period from January to June 2022, an exchange loss of R$401 was recognized referring to the ineffectiveness in the exchange variation line (exchange gain of R$77 in the same period in 2021).
Future exports designated as hedged items in cash flow hedge relationships represent, on average, 62.77% of highly probable future exports.
The movement in exchange variation accumulated in other comprehensive income as of June 30, 2022, to be realized by future exports, is presented below:
Exchange rate variation | Tax effect | Total | |
Balance at December 31, 2021 | (123,622) | 42.034 | (81.588) |
Recognized in Shareholders' Equity | 27,501 | (9.350) | 18.151 |
Reclassified to the statement of income - occurred exports | 12,663 | (4.306) | 8.357 |
Balance at June 30, 2022 | (83,458) | 28.378 | (55.080) |
Exchange rate variation | Tax effect | Total | |
Balance at December 31, 2020 | (126,645) | 43,062 | (83,583) |
Recognized in Shareholders' Equity | 12,193 | (4,146) | 8,047 |
Reclassified to the statement of income - occurred exports | 12,427 | (4,225) | 8,202 |
Balance at June 30, 2021 | (102,025) | 34,691 | (67,334) |
Changes in expectations of realization of export prices and volumes in future reviews of business plans may determine the need for additional reclassifications of accumulated exchange variation in shareholders' equity to the statement of income. A sensitivity analysis with an average Brent oil price lower in US$ 10/barrel than considered in the last revision of the Strategic Plan 2022-2026, would not indicate the need to reclassify the exchange variation from the shareholders' equity to the statement of income.
The annual expectation of realization of the exchange variation balance accumulated in shareholders' equity as of June 30, 2022 is shown below:
Consolidated | ||||||||||
2022 | 2023 | 2024 | 2025 | 2026 | 2027 | 2028 to 2031 | Total | |||
Expected realization | (12,294) | (20,251) | (15,189) | (9,561) | (8,123) | (8,730) | (9,310) | (83,458) | ||
b) Information on ongoing contracts
As of June 30, 2022, the company has swap contracts - IPCA x CDI and CDI x Dollar, in addition to swap - Pound Sterling x Dollar outstanding.
Swap contracts - IPCA x CDI and CDI x Dollar
Changes in future interest rate curves (CDI) may impact the company's results, depending on the market value of these swap contracts. The value of the shock on the curve was defined as a function of the average maturity term of the swaps, and is approximately 25% of the average term future rate. A sensitivity analysis of the future interest rate curves (CDI), by means of a parallel shock, keeping all other variables constant, would result in the impacts shown in the following table:
53 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
Sensitivity analysis | Result |
Constant increase of 300 basis points | (142) |
Constant decrease of 300 basis points | 237 |
c)Sensitivity analysis for foreign exchange risk on financial instruments
The scenario considered probable is referenced by an external source, Focus and Thomson Reuters, based on the exchange rate estimated for the close of the next quarter. In addition to the possible and remote scenarios that consider the appreciation of the quarterly closing exchange rate (risk) by 25% and 50%, respectively, except for the balances of assets and liabilities in foreign currency of foreign subsidiaries, when carried out in a currency equivalent to their respective functional currencies. These analyzes only cover the exchange variation and keep all other variables constant.
Financial Instruments | Exposure at 06.30.2022 | Risk | Probable Scenario (*) | Reasonably possible scenario (∆ of 25%) | Remote Scenario (∆ of 50%) |
Assets | 23,352 | Dollar / Real | 53 | 5,838 | 11,676 |
Liabilities | (451,325) | (1,034) | (112,831) | (225,663) | |
Exchange rate - Cross currency swap | (3,008) | (7) | (752) | (1,504) | |
Cash flow hedge on exports | 338,509 | 776 | 84,627 | 169,255 | |
(92,472) | (212) | (23,118) | (46,236) | ||
Assets | 16 | Euro / Real | − | 4 | 8 |
Liabilities | (669) | (4) | (167) | (335) | |
(653) | (4) | (163) | (327) | ||
Assets | 4,903 | Euro / Dollar | 15 | 1,226 | 2,452 |
Liabilities | (9,790) | (31) | (2,448) | (4,895) | |
(4,887) | (16) | (1,222) | (2,443) | ||
Assets | 10 | Pound Sterling/ Real | − | 3 | 5 |
Liabilities | (106) | (1) | (27) | (53) | |
(96) | (1) | (24) | (48) | ||
Assets | 8,698 | Pound Sterling/ Dollar | 25 | 2,175 | 4,349 |
Liabilities | (17,113) | (49) | (4,278) | (8,557) | |
Exchange rate - Cross currency swap | 6,527 | 19 | 1,632 | 3,264 | |
(1,888) | (5) | (471) | (944) | ||
Total | (99,996) | (238) | (24,998) | (49,998) |
(*) The probable scenarios were calculated considering the following variations for the risks: Real x Dollar - 0.23% devaluation of the real / Euro x Dollar - appreciation of the euro by 0.3% / Pound Sterling x Dollar - appreciation of the Pound Sterling by 0.29% / Real x Euro - devaluation of the real by 0.5% / Real x Pound Sterling - devaluation of the real by 0.5%. Source: Focus and Thomson Reuters.
27.4 | Interest rate risk management |
The company preferentially does not use derivative financial instruments to manage exposure to interest rate fluctuations, as they do not cause material impacts, except in specific situations presented by Petrobras subsidiaries.
The interest rate risk sensitivity analysis is performed for a 12-month horizon. The values referring to the possible and remote scenarios mean the total floating interest expense in the event of a variation of 25% and 50% in these interest rates, respectively, keeping all other variables constant.
The following table informs, in the probable scenario, the amount to be disbursed by Petrobras with the payment of interest related to debts with floating interest rate on June 30, 2022.
Consolidated | |||
Risk | Probable Scenario (*) | Reasonably possible scenario (∆ of 25%) | Remote Scenario (∆ of 50%) |
LIBOR 3M | 46 | 55 | 64 |
LIBOR 6M | 2,770 | 3,158 | 3,545 |
CDI | 723 | 904 | 1,085 |
TJLP | 364 | 455 | 546 |
IPCA | 464 | 580 | 696 |
4,367 | 5,152 | 5,936 | |
(*) The probable scenario was calculated considering the quotations of currencies and floating rates to which the debts are indexed. |
54 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
27.5 | Liquidity risk |
The possibility of insufficient cash or other financial assets to settle obligations on the scheduled dates is managed by the company. In Petrobras' individual interim financial information for the period ended June 30, 2022, net working capital was negative, mainly due to transactions with subsidiaries, as per explanatory note 28. In the same period, considering the integrated cash view, the net working capital was positive in the consolidated interim financial information.
The company regularly assesses market conditions and may carry out repurchase transactions for its securities or those of its subsidiaries in the international capital markets, through various means, including repurchase offers, securities redemptions and/or open market operations, provided that they are in line with the company's liability management strategy, which aims to improve the amortization profile and the cost of debt.
28 | Related-party transactions |
The company has a policy on Transactions with Related Parties that is reviewed and approved annually by the Board of Directors, as provided for in Petrobras' Bylaws.
The policy also aims to ensure adequate and diligent decision-making by the company's management.
28.1 | Commercial transactions per operation with investees (Parent Company) |
06.30.2022 | 12.31.2021 | |||||
Current | Non-current | Total | Current | Non-current | Total | |
Assets | ||||||
Trade and other receivables | ||||||
Trade and other receivables, mainly from sales | 16,020 | − | 16,020 | 13,451 | − | 13,451 |
Dividends receivable | 49 | − | 49 | 175 | − | 175 |
Amounts related to construction of gas pipeline | − | 791 | 791 | − | 727 | 727 |
Other operations | 694 | 316 | 1,010 | 736 | 332 | 1,068 |
Advances to suppliers | 586 | 1,052 | 1,638 | 594 | 1,163 | 1,757 |
Total | 17,349 | 2,159 | 19,508 | 14,956 | 2,222 | 17,178 |
Liabilities | ||||||
Lease liabilities (*) | (2,357) | (5,101) | (7,458) | (2,689) | (5,860) | (8,549) |
Prepayment of exports | (84,922) | (223,408) | (308,330) | (87,387) | (272,855) | (360,242) |
Accounts payable to suppliers | (13,209) | − | (13,209) | (8,707) | − | (8,707) |
Purchases of crude oil, oil products and others | (11,191) | − | (11,191) | (4,800) | − | (4,800) |
Affreightment of platforms | (516) | − | (516) | (854) | − | (854) |
Advances from clientes | (1,494) | − | (1,494) | (3,035) | − | (3,035) |
Other operations | (8) | − | (8) | (18) | − | (18) |
Total | (100,488) | (228,509) | (328,997) | (98,783) | (278,715) | (377,498) |
(*) Includes amounts referring to lease and sub-lease transactions between investees required by IFRS 16 / CPC 06 (R1) - Leases.
2022 | 2021 | |||
Apr-Jun | Jan-Jun | Apr-Jun | Jan-Jun | |
Result | ||||
Revenues, mainly sales revenues | 43,137 | 82,520 | 60,682 | 112,078 |
Foreign exchange and inflation indexation charges, net(**) | (12,450) | (6,441) | 10,033 | (8,032) |
Finance income (expenses), net (**) | (5,411) | (10,635) | (5,435) | (11,184) |
Total | 25,276 | 65,444 | 65,280 | 92,862 |
(**) Includes the amounts of R$158 of active exchange variation and R$302 of financial expenses referring to leases and subleases required by IFRS 16 / CPC 06 (R1) (R$77 of active exchange variation and R$ 206 of financial expense for the period from January to June 2021). | ||||
28.2 | Non-standardized credit rights investment fund (FIDC-NP) |
The parent company maintains funds invested in the FIDC-NP that are mainly used for the acquisition of performing and / or non-performing credit rights for operations carried out by affiliates. The amounts invested are recorded in accounts receivable.
Assignments of credit rights, performed and not performed, are recorded as financing in current liabilities.
Parent Company | ||
06.30.2022 | 12.31.2021 | |
Accounts receivable, net | 80,779 | 59,651 |
Credit rights assignments | (58,527) | (58,545) |
55 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
2022 | 2021 | |||
Apr-Jun | Jan-Jun | Apr-Jun | Jan-Jun | |
Financial Income FIDC-NP | 2,281 | 3,331 | 283 | 383 |
Financial Expenses FIDC-NP | (1,269) | (2,015) | (222) | (320) |
Net finance income (expense) | 1,012 | 1,316 | 61 | 63 |
28.3 | Guarantees |
Petrobras has the procedure of granting guarantees to its equity interests for certain financial operations carried out in Brazil and abroad. As a result of the strategy of early settlement of debts during the year, the financial operations carried out by these equity interests and guaranteed by Petrobras present a balance of R$ 124,636 to be settled on June 30, 2022 (R$ 153,611 on December 31, 2021).
The guarantees offered by Petrobras, mainly personal, non-remunerated, are based on contractual clauses that support financial transactions between subsidiaries/controlled companies and third parties, guaranteeing the assumption of compliance with a third party's obligation, if the original debtor fails to do so.
28.4 | Transactions with joint ventures, associates, government entities and pension plans |
The company does, and expects to continue to do, business in the normal course of various transactions with its joint ventures, affiliates, pension funds, as well as with its controlling shareholder, the Brazilian federal government, which includes transactions with banks and other entities under its control, such as financing and banking services, asset management and others.
Significant transactions resulted in the following balances:
Consolidated | ||||
06.30.2022 | 12.31.2021 | |||
Asset | Liability | Asset | Liability | |
Joint ventures and associates | ||||
State-controlled gas distributors (joint ventures) | 1,076 | 269 | 1,422 | 237 |
Petrochemical companies (associates) | 11 | 50 | 144 | 67 |
Other associates and joint ventures | 503 | 6 | 586 | 66 |
Subtotal | 1,590 | 325 | 2,152 | 370 |
Brazilian government | ||||
Government bonds | 9,257 | − | 8,069 | − |
Banks controlled by the Brazilian Government | 51,461 | 8,440 | 46,970 | 7,073 |
Petroleum and alcohol account - receivables from the Brazilian Government | 3,051 | − | 2,822 | − |
Brazilian Government (dividends) | − | 6,949 | − | − |
Others | 265 | 280 | 161 | 305 |
Subtotal | 64,034 | 15,669 | 58,022 | 7,378 |
Pension plans | 301 | 168 | 282 | 338 |
Total | 65,925 | 16,162 | 60,456 | 8,086 |
Current assets | 14,025 | 10,679 | 11,777 | 1,760 |
Non-current assets | 51,900 | 5,483 | 48,679 | 6,326 |
The effect on the result of significant transactions is presented below:
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NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
Consolidated | ||||
2022 | 2021 | |||
Apr-Jun | Jan-Jun | Apr-Jun | Jan-Jun | |
Joint ventures and associates | ||||
Petrobras Distribuidora (BR), currently Vibra Energia | − | − | 22,740 | 40,892 |
Natural Gas Transportation Companies | − | − | (311) | (1,656) |
State-controlled gas distributors (joint ventures) | 3,062 | 6,064 | 3,096 | 5,557 |
Petrochemical companies (associates) | 6,561 | 12,443 | 4,350 | 8,560 |
Other associates and joint ventures | 301 | 454 | 407 | 641 |
Subtotal | 9,924 | 18,961 | 30,282 | 53,994 |
Brazilian government | ||||
Government bonds | 249 | 469 | 67 | 104 |
Banks controlled by the Brazilian Government | (251) | (142) | (161) | (508) |
Receivables from the Electricity sector | − | − | 513 | 596 |
Petroleum and alcohol account - receivables from the Brazilian Government | 132 | 229 | 59 | 122 |
Brazilian Government (dividends) | (381) | (381) | (20) | (20) |
Empresa Brasileira de Administração de Petróleo e Gás Natural - Pré-Sal Petróleo S.A. - PPSA | (651) | (854) | (193) | (362) |
Others | (80) | (19) | (228) | (174) |
Subtotal | (982) | (698) | 37 | (242) |
Total | 8,942 | 18,263 | 30,319 | 53,752 |
Revenues, mainly sales revenues | 9,940 | 19,252 | 31,058 | 57,018 |
Purchases and services | 7 | 29 | (561) | (2,644) |
Operating income and expense | (768) | (1,231) | (553) | (788) |
Foreign exchange and inflation indexation charges, net | (214) | (149) | (29) | (248) |
Finance income (expenses), net | (23) | 362 | 404 | 414 |
Total | 8,942 | 18,263 | 30,319 | 53,752 |
Liabilities with pension plans of the company's employees and managed by Fundação Petros, which include debt instruments, are presented in note 12.
28.5 | Compensation of key management personnel |
The total remuneration of the members of the Board of Directors and Executive Board of Petrobras Holding are based on the guidelines established by the Secretariat for Coordination and Governance of State Companies - SEST, of the Ministry of Economy, and by the Ministry of Mines and Energy and are presented as follows:
Parent Company
Jan-Jun/2022 | Jan-Jun/2021 | |||||
Officers | Board Members | Total | Officers | Board Members | Total | |
Wages and short-term benefits | 7.0 | 0.2 | 7.2 | 7.1 | 0.4 | 7.5 |
Social security and other employee-related taxes | 2.0 | − | 2.0 | 1.8 | 0.1 | 1.9 |
Post-employment benefits (pension plan) | 0.6 | − | 0.6 | 0.5 | − | 0.5 |
Benefits due to termination of tenure | 0.6 | − | 0.6 | 1.4 | − | 1.4 |
Total compensation recognized in the statement of income | 10.2 | 0.2 | 10.4 | 10.8 | 0.5 | 11.3 |
Total compensation paid (*) | 20.4 | 0.2 | 20.6 | 21.0 | 0.5 | 21.5 |
Average number of members in the period (**) | 9.00 | 11.00 | 20.00 | 9.00 | 10.33 | 19.33 |
Average number of paid members in the period (***) | 9.00 | 2.83 | 11.83 | 9.00 | 5.00 | 14.00 |
(*) Includes the PPP for Administrators in the Executive Board. (**) Monthly average number of members. | ||||||
(***) Monthly average number of paid members. |
In the period from January to June 2022, the consolidated expense with the total compensation of the company's officers and directors totaled R$ 29.56 (R$ 33.29 in the period from January to June 2021).
On April 13, 2022, the Annual Shareholders' Meeting set the compensation of managers (Executive Board and Board of Directors) at up to R$ 39.59 as the global limit of compensation to be paid in the period between April 2022 and March 2023.
The compensation of the members of the Advisory Committees to the Board of Directors must be considered apart from the global compensation limit set for the managers, that is, the amounts received are not classified as compensation for the managers.
The members of the Board of Directors who participate in the Statutory Audit Committees waive the remuneration of the Board of Directors, as established in art. 38, § 8 of Decree No. 8,945, of December 27, 2016, and they were entitled to a total remuneration of R$ 1,721.4 thousand in the period from January to June 2022 (R$ 2,065.6 thousand, considering the social charges). In the period from January to June 2021, the remuneration accrued in the period was R$ 1,315.8 thousand (R$ 1,559.6 thousand, considering social charges).
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NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
29 | Supplemental information on statement of cash flows |
Consolidated | ||
2022 | 2021 | |
Jan-Jun | Jan-Jun | |
Amounts paid/received during the period | ||
Withholding income tax paid on behalf of third-parties | 3,023 | 2,078 |
Transactions that does not involve cash | ||
Acquisition of property, plant and equipment on term | 95 | − |
Lease | 15,906 | 5,860 |
Provision/(reversals) for decommissioning costs | 54 | (7) |
Use of tax credits and judicial deposits to pay the contingency | 5,819 | 2 |
Remeasurement of property, plant and equipment acquired in previous periods | 189 | − |
The final balance of cash and cash equivalents, in the statement of cash flows, includes amounts related to assets held for sale, as shown in the reconciliation below:
Consolidated | ||
2022 | 2021 | |
Jan-Jun | Jan-Jun | |
Balance reconciliation at the beginning of the period | ||
Balance of cash and cash equivalents on the statement of financial position | 58,410 | 60,856 |
Cash and cash equivalents classified as assets held for sale | 72 | 74 |
Cash and cash equivalents in the Statement of Cash Flow - Opening balance | 58,482 | 60,930 |
Balance reconciliation at the end of the period | ||
Balance of cash and cash equivalents on the statement of financial position | 85,311 | 49,126 |
Cash and cash equivalents classified as assets held for sale | 37 | 4 |
Cash and cash equivalents in the Statement of Cash Flow - Closing Balance | 85,348 | 49,130 |
30 | Subsequent events |
Agreement with the ANP on royalties on shale oil
On July 1st, 2022, Petrobras signed an agreement in the amount of R$ 601 with the National Agency of Petroleum, Natural Gas and Biofuels (ANP), approved by the Executive Board and the Board of Directors of Petrobras in October 2021, related to the collection of royalties on the operation of the Shale Industrialization Unit (SIX), located in São Mateus do Sul / PR, as well as a concession agreement to regulate the exploration and production of oil and gas from shale at SIX. The disbursement will be made in an installment of R$ 150 and the remaining balance in 60 monthly installments.
The effectiveness of the agreement is subject to its judicial approval, so that, with said approval, all legal and administrative proceedings related to the collection of royalties and administrative fines arising from the mining of shale at SIX will be terminated.
The amount of the agreement was provisioned in Petrobras' financial statements for the year ended December 31, 2021.
Sale of Deten
On July 5, 2022, Petrobras ended the disposal of its entire interest (27.88%) in Deten Química S.A (Deten). After the fulfillment of all the conditions precedent, the operation was concluded with the receipt of R$ 514, which reflects the purchase price adjusted according to monetary restatement, dividends received and deduction of the amount of the deposit received at the signing of the purchase agreement and sale of shares.
Information on the agreement signed in April 2022 is described in Note 22 - Sales of Assets and Other Corporate Restructuring. The result of the operation will be recognized in the third quarter of 2022.
Loan linked to sustainability
On July 8, 2022, the company signed with Bank of China, MUFG and The Bank of Nova Scotia a credit line with sustainability commitments (Sustainability-Linked Loan - SLL), in the amount of US$ 1.25 billion and expiring in July 2027. The contract includes incentive mechanisms for achieving sustainability commitments, based on the corporate performance indicators of E&P's greenhouse gas (GHG) intensity, GHG intensity in refining and methane in E&P. The withdrawal was carried out by the company in July 2022.
Sale of Gaspetro
On July 11, 2022, Petrobras ended the sale of 51% of Petrobras Gás S.A. (Gaspetro) to Compass Gás e Energia S.A. (Compass). The transaction was concluded for the amount of R$2,097, fully settled on the date.
The result of the operation will be recognized in the third quarter of 2022.
58 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
Repurchase of securities
On July 15, 2022, Petrobras concluded the offer to repurchase global bonds, with maturities between 2024 and 2115, carried out by its wholly-owned subsidiary Petrobras Global Finance B.V. (PGF). The total amount offered by investors, excluding capitalized and unpaid interest, was US$ 854 million. The total amount paid to these investors was US$791 million, considering the prices offered by Petrobras and excluding capitalized interest up to the settlement date.
Term of Conduct Adjustment with ANP
On July 27, 2022, Petrobras approved the execution, with the ANP, of a Term of Conduct Adjustment to offset local content fines related to 22 concessions in which Petrobras has a 100% interest, located in the basins Barreirinhas, Campos, Espírito Santo, Parecis, Potiguar, Recôncavo, Santos, Sergipe-Alagoas and Solimões.
The Term of Conduct Adjustment provides for the conversion of fines into investment commitments in Exploration and Production with local content. Under the terms of the agreement, Petrobras is committed to investing approximately R$1 billion in local content by December 31, 2026. With this, all administrative proceedings related to the collection of fines arising from non-compliance with local content in these concessions will be terminated, resulting in a reduction in the liability of R$639 in the interim financial information as of June 30, 2022.
Remuneration to Shareholders
On July 28, 2022, the Board of Directors approved the distribution of remuneration to shareholders in the total amount of R$ 87,814 (R$ 6.732003 per preferred share and common share outstanding), based on the interim net income of the period from April to June 2022 and by use of a portion of the profit retention reserve account, as shown in the following table:
Remuneration to shareholders | |||
Date of shareholder position | Amount per common and preferred share (R$) | Amount | |
Interim dividends | 08.11.2022 | 3.482049 | 45,421 |
Interim interest on capital | 08.11.2022 | 0.427141 | 5,572 |
Total prepayments based on the statement of shareholder position as of 06.30.2022 | 3.909190 | 50,993 | |
Interim dividends using a portion of the profit retention reserve | 08.11.2022 | 2.822813 | 36,821 |
Total of remuneration to shareholders | 6.732003 | 87,814 | |
Outstanding preferred shares | 6.732003 | 37,713 | |
Outstanding common shares | 6.732003 | 50,101 | |
These dividends and interest on capital will be paid in two equal installments of R$ 43,907, on August 31, 2022 and September 20, 2022, being deducted from the remuneration that will be distributed to shareholders at the end of the year 2022. The amount will be monetarily restated, according to the variation of the Selic rate, from the date of effective payment until the end of said fiscal year.
59 |
NOTES TO THE FINANCIAL STATEMENTS PETROBRAS This interim financial information should be read together with the Company's audited annual financial statements (Expressed in millions of reais, unless otherwise indicated) |
31. | Correlation between the explanatory notes of December 31, 2021 and the ones of June 30, 2022 |
Number of notes | ||
Notes to the Financial Statements | Annual for 2021 | Quarterly information for 2Q-22 |
Basis of preparation and presentation of financial statements | 2 | 1 |
Summary of significant accounting policies | 3 | 2 |
Cash and cash equivalents and Marketable securities | 7 | 3 |
Sales revenues | 8 | 4 |
Costs and Expenses by nature | 9 | 5 |
Other income and expenses | 10 | 6 |
Net finance income (expense) | 11 | 7 |
Segment information - Statement of Income | 12 | 8 |
Trade and other receivables | 13 | 9 |
Inventories | 14 | 10 |
Taxes | 16 | 11 |
Employee benefits (Post-Employment) | 17 | 12 |
Provisions for legal proceedings | 18 | 13 |
Provision for decommissioning costs | 19 | 14 |
Property, plant and equipment | 23 | 15 |
Intangible assets | 24 | 16 |
Impairment | 25 | 17 |
Exploration and evaluation of oil and gas reserves | 26 | 18 |
Collateral for crude oil exploration concession agreements | 27 | 19 |
Investments | 29 | 20 |
Segment information - Asset | 30 | 21 |
Disposal of Assets and other changes in organizational structure | 31 | 22 |
Finance debt | 32 | 23 |
Leases | 33 | 24 |
Equity | 34 | 25 |
Fair value of financial assets and liabilities | 35 | 26 |
Risk management | 36 | 27 |
Related-party transactions | 37 | 28 |
Supplemental information on statement of cash flows | 38 | 29 |
Subsequent events | 39 | 30 |
The notes to the annual report 2021, which were suppressed in the interim financial statements of June 30, 2022 because they do not have significant changes and / or may not be applicable to interim financial information, are:
Notes to the Financial Statements | Number of notes |
The Company and its operations | 1 |
Accounting estimates | 4 |
New standards and interpretations | 5 |
Capital management | 6 |
Trade payables | 15 |
Other assets and liabilities | 20 |
"Lava Jato Operation" and the reflects on the Company | 21 |
Commitment to purchase natural gas | 22 |
Partnerships in exploration and production activities | 28 |
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STATEMENT OF DIRECTORS ON INTERIM ACCOUNTING INFORMATION AND REPORT ON THE REVIEW OF QUARTERLY INFORMATION
PETROBRAS
In compliance with the provisions of items V and VI of article 25 of CVM Instruction 480, of December 7, 2009, the chief executive officer and directors of Petróleo Brasileiro S.A. - Petrobras, a publicly-held corporation, headquartered at Avenida República do Chile, 65, Rio de Janeiro, RJ, registered with the CNPJ under nº 33.000.167 / 0001-01, declare that the financial statements were prepared in accordance with the law or the bylaws and that:
(i)reviewed, discussed and agreed with the Interim Financial Statements of Petrobras for the period ended on June 30, 2022;
(ii) reviewed, discussed and agreed with the conclusions expressed in the report of KPMG Auditores Independentes Ltda., regarding the Interim Financial Statements of Petrobras for the period ended on June 30, 2022.
Rio de Janeiro, July 28, 2022.
Caio Mário Paes de Andrade | Rafael Chaves Santos | |
Chief Executive Officer | Chief Institutional Relations and Sustainability Executive Officer | |
Cláudio Rogério Linassi Mastella | Rodrigo Araujo Alves | |
Chief Commercialization and Logistics Executive Officer | Chief Financial and Investor Relations Executive Officer | |
Fernando Assumpção Borges | Rodrigo Costa Lima e Silva | |
Chief Exploration and Production Executive Officer | Chief Refining and Natural Gas Executive Officer | |
João Henrique Rittershaussen | Salvador Dahan | |
Chief Production Development Executive Officer | Chief Governance and Compliance Executive Officer | |
Juliano de Carvalho Dantas | ||
Chief Digital Transformation and Innovation Executive Officer |
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KPMG Auditores Independentes Ltda.
Rua do Passeio, 38 - Setor 2 - 17º andar - Centro
20021-290 - Rio de Janeiro/RJ - Brasil
Caixa Postal 2888 - CEP 20001-970 - Rio de Janeiro/RJ - Brasil
Telefone +55 (21) 2207-9400
kpmg.com.br
Report on the review of quarterly information - ITR
(A free translation of the original report in Portuguese, as filed with the Brazilian Securities Commission - CVM, prepared in accordance with the Technical Pronouncement CPC 21 (R1) - Interim Financial Reporting and the international standard IAS 34 - Interim Financial Reporting, as issued by the International Accounting Standards Board - IASB)
To the Board of Directors and Shareholders of
Petróleo Brasileiro S.A. - Petrobras
Rio de Janeiro - RJ
Introduction
We have reviewed the individual and consolidated interim financial information of Petróleo Brasileiro S.A. - Petrobras ("the Company"), identified as Parent Company and Consolidated, respectively, included in the quarterly information form - ITR for the quarter ended June 30, 2022, which comprises the statement of financial position as of June 30, 2022 and the respective statements of income and comprehensive income for the three and six-months periods then ended, and statements of changes in shareholders' equity and of cash flows for the six-months period then ended, including the explanatory notes.
Management is responsible for the preparation of the individual and consolidated interim financial information in accordance with the CPC 21 (R1) - Interim Financial Reporting and the IAS 34 - Interim Financial Reporting, issued by the International Accounting Standards Board - IASB, such as for the presentation of these information in accordance with the standards issued by the Brazilian Securities Commission - CVM, applicable to the preparation of quarterly information - ITR. Our responsibility is to express our conclusion on this interim financial information based on our review.
KPMG Auditores Independentes Ltda., uma sociedade simples brasileira e firma-membro da rede KPMG de firmas-membro independentes e afiliadas à KPMG International Cooperative ("KPMG International"), uma entidade suíça. | KPMG Auditores Independentes Ltda., a Brazilian entity and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. |
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Scope of the review
We conducted our review in accordance with Brazilian and international standards on reviews of interim financial information (NBC TR 2410 - Review of Interim Financial Information Performed by the Independent Auditor of the Entity and ISRE 2410 - Review of Interim Financial Information Performed by the Independent Auditor of the Entity, respectively). A review of interim financial information consists of making inquiries primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with the auditing standards and, consequently, does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.
Conclusion on the individual and consolidated interim financial information
Based on our review, nothing has come to our attention that causes us to believe that the accompanying individual and consolidated interim financial information included in the quarterly information referred to above has not been prepared, in all material respects, in accordance with CPC 21 (R1) and IAS 34, issued by the IASB, applicable to the preparation of Quarterly Information - ITR, and presented in accordance with the standards issued by the Brazilian Securities Commission.
Other matters - Statements of added value
The individual and consolidated interim financial information referred to above includes the individual and consolidated statements of added value (DVA) for the six-month period ended at June 30, 2022, prepared under responsibility of Company's management, and presented as supplementary information for IAS 34 purposes. These statements were submitted to review procedures carried out together with the review of the Company's interim financial information to conclude that they are reconciled with interim financial information and accounting records, as applicable, and its form and content are in accordance with the criteria defined in CPC 09 - Statement of Added Value. Based on our review, nothing has come to our attention that causes us to believe that those statements were not prepared, in all material respects, in accordance with the criteria set forth in this Standard with respect to the individual and consolidated interim financial information taken as a whole.
Rio de Janeiro, July 28, 2022
KPMG Auditores Independentes Ltda.
CRC SP-014428/O-6 F-RJ
(Original report in Portuguese signed by)
Ulysses M. Duarte Magalhães
Accountant CRC RJ-092095/O-8
KPMG Auditores Independentes Ltda., uma sociedade simples brasileira, de responsabilidade limitada e firma-membro da organização global KPMG de firmas-membro independentes licenciadas da KPMG International Limited, uma empresa inglesa privada de responsabilidade limitada. | KPMG Auditores Independentes Ltda., a Brazilian limited liability company and a member firm of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee. |
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PETROBRAS - Petróleo Brasileiro SA published this content on 29 July 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 29 July 2022 14:31:01 UTC.