The federal government’s share of oil production reached a new record in July, totaling 176.5 thousand barrels per day (bpd), combining volumes from production sharing contracts (PSCs) and unitization agreements (UAs) in the non-contracted areas of Atapu, Mero, and Tupi. The Union’s natural gas production also hit a record, reaching 454 thousand m³ per day during the same period across five PSCs and the Tupi UA. The data were released this Thursday (11) in the Monthly Production Report published by PPSA (Pré-Sal Petróleo).

The growth in the Union’s oil production was driven by two factors: the increase in the government’s share of oil from the Sépia field, which rose from 1.8 thousand bpd in June to 28 thousand bpd in July due to a contractual balance shift; and the higher share in the Mero UA, which increased from 9.1 thousand bpd in June to 11 thousand bpd in July. With this result, the Union became the country’s fourth-largest producer, behind Petrobras, Shell, and Total.

In natural gas, growth was significant: the Union’s share in PSCs reached 429 thousand m³/day, a 256% increase compared to June, also reflecting the contractual balance shift in Sépia. The Sépia field accounted for 76% of the Union’s share in July, followed by Búzios with 16%, and Sapinhoá with 8%. For the coming months, volumes are expected to slightly decrease due to scheduled maintenance shutdowns in Búzios and Mero. In the Tupi UA, the Union’s gas production was 25 thousand m³/day in July.

Total Production Under the PSC Regime

In July, daily production under all PSCs reached 1.4 million bpd, 7% higher than the previous period. Since the beginning of the historical series in 2017, cumulative production under the PSC regime has totaled 1.31 billion barrels, of which 89.16 million barrels were allocated to the Union. In natural gas, cumulative output has already reached 4.22 billion m³, with 256 million m³ belonging to the Union.

Access the full report here