On August 28, 2024, Brazil’s National Energy Policy Council ("CNPE") published CNPE Resolution No. 6/2024, announcing the exercise of Petróleo Brasileiro S.A.’s ("Petrobras") preferential right to be the operator in the Jaspe block with a minimum 30% participating interest.

The Jaspe block will be offered under the Permanent Offer system under a production sharing regime with seven other pre-salt blocks, as authorized by CNPE Resolution No. 11/2023 (detailed in our previous Legal Update).

Pursuant to Decree No. 9.041/2017, Petrobras will have the “pull out option” to refuse to enter into a production sharing agreement if the federal government’s profit oil percentage offered by another company or consortium—declared as the winner—is higher than the minimum percentage established in the tender protocol.

Petrobras can participate on equal terms and conditions with the other bidding companies in relation to the other seven blocks offered.

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