Investor Presentaiton
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A
YEARBOOK OF THE OIL AND NATURAL GAS INDUSTRY IN ESPÍRITO SANTO 2022
CHAPTER 2 EXPLORATION AND PRODUCTION OF OIL AND NATURAL GAS IN ESPÍRITO SANTO
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For 2023, a small recovery in off-
shore production is expected due
to overcoming operational prob-
lems that affected the produc-
tion performance of the previous
year, such as the leak in the hull
of FPSO Cidade de Anchieta and
the decommissioning of FPSO
Capixaba. For 2024, a drop in off-
shore production is projected due
to the continuation of the natural
decline in production.
A significant change is expected
in 2024 and 2025, when Petro-
bras intends to put into operation
a new platform in Parque das Ba-
leias (FPSO Maria Quitéria) and
PetroRio (PRio) plans to start the
extraction in the Wahoo field. The
Petrobras project intends to in-
crease the oil and gas recovery
factor through the optimization
of the current drainage network,
with the interconnection of a new
FPSO. The intention is that the
new platform will be operating
in the last quarter of 2024. PRIO
intends to drill 4 producing wells
and 2 injectors, with 1st oil ex-
pected for the 1st half of 2024.
These projects are responsible for
the reversal curve of the projected
falls for the production of oil and
natural gas in Espírito Santo.
Chart 21 - Projection of offshore oil production in Espírito Santo (thousand barrels)
133,869
118,721
101,517
87,144
87,805
82,692
73,891
69,793
47,679
52,719 50,997
2017 2018 2019
2020 2021 2022 2023 2024 2025
Production
Elaboration: Industry Observatory/Findes and LCA.
2026
2027
(d) (d)
(d)
(d)
(d)
Projected
Chart 22 Projection of offshore natural gas production in Espírito Santo (in millions of m³)
3,959
3,432
2,640
2,277
2,411
1,971
2,121
1,759
1,224 1,367 1,292
2.6.2. Projection of onshore
production in Espírito Santo
Onshore production accounts for
a minority share of the volume
of oil and natural gas produced.
The evolution of production on
land does not significantly af-
fect the total produced by the
state. However, this activity is
important in the regional socio-
economic development of pro-
ducing municipalities, especially
in the generation of employment
and income. It is expected that
between 2023 and 2027 onshore
oil production will have an aver-
age annual drop of 2.9%, reach-
ing in 2027 a production of 2.2
million barrels. For natural gas,
an average annual drop of 2.2%
is projected, between 2023 and
2027, reaching a production of
18.4 million m³, in 2027.
Charts 23 and 24 show the re-
cent evolution and projection of
onshore production until 2027.
The downward trend in the pro-
duction is due to the fact that all
the main fields are mature and
with a declining trend in produc-
tion. In addition, Petrobras has
no interest in the development
of onshore assets, which reduc-
es the absorption capacity of
new projects in the region. The
company owns the fields with
the highest production of terres-
trial oil and natural gas in Espíri-
to Santo.
Despite this result, less sharp
declines are expected until 2027
due to the sale of Petrobras
assets to other operators. The
prospect is that these new en-
trants will increase investment
in revitalizing and extending the
useful life of these areas. In ad-
dition, the increase in the num-
ber of hydrocarbon and com-
merciality declarations, aligned
with the sale of land areas in the
Permanent Offer, signals a pos-
sible increase in the number of
new onshore projects.
It should be noted that as the
values of production on land are
lower, any new projects or un-
scheduled shutdowns can cause
large deviations from the pro-
jected volumes.
4.1%
is the expected average
annual drop in onshore oil
production between 2022
and 2027, reaching 2.2
million barrels
5.4%
is the expected average
annual drop in onshore
natural gas production
between 2022 and 2027,
reaching 17.0 million m3
2017 2018
2019
2020
2021 2022 2023 2024 2025 2026 2027
(d)
(p)
(d)
(d)
(p)
| Production
Projected
Elaboration: Industry Observatory/Findes and LCA.View entire presentation