The Discovery of Vast Oil Reserves in Guyana and Suriname Is Redefining the Energy Landscape in the Region, Impacting Production Prospects in New Frontiers in Brazil

The recent discovery off the coast of Rio Grande do Norte indicates the potential of the region. According to Sylvia dos Anjos, Executive Director of Exploration and Production at Petrobras, the Equatorial Margin is part of the company’s plans, and they have been working to obtain the necessary licenses to study the feasibility of exploration in the region.

"We are confident in this new frontier, including its potential to sponsor new energy sources," she stated during a panel at ROG.e, one of the world’s largest energy events taking place from Monday (23) to Thursday (26) at the Olympic Boulevard in Rio de Janeiro.

According to Hunter Farris, Senior Vice President of Deepwater at ExxonMobil, Brazil holds a unique position with excellent professionals and significant opportunities for the future with the Equatorial Margin. "Today, 55% to 60% of the global energy matrix comes from oil and gas, which are necessary to meet the demands for improved quality of life, requiring new discoveries and technologies," he said.

Suzana Kahn Ribeiro, Director-General of COPPE/UFRJ, noted that issues related to carbon emissions are a stimulus for innovation. "We know we will use oil in the coming decades; therefore, the best oil will be that which has the lowest emissions."

Just Energy Transition

The just and accessible energy transition was a theme of the Strategic Talks with Anders Opedal, CEO of Equinor. The executive highlighted the company's strategy to operate a leaner and optimized portfolio with low emissions and high value. "We need to ensure that we are allocating capital correctly. We have evaluated all countries and where we want to continue investing. Brazil is one of them. However, our production methods have changed. We have reduced emissions in our assets while also collaborating to ensure energy for our consumers," Opedal added.

Transition Solutions

From fleet electrification to producing less polluting fuels and carbon pricing, these are some alternatives suggested by experts for what they call a just energy transition. For Ricardo Mussa, CEO of Raízen, this transition represents an opportunity for Brazil. "In this area, we are leading, but now with a process that has clearer rules. This has more to do with the dynamics of the country than the market," he said.

Décio Oddone, CEO of Brava Energia, believes that the energy transition is humanity's most complex challenge. "It will not be simple, easy, or quick. We need to think of a set of solutions involving technology, innovation, and other measures, such as carbon pricing."

Commitment to a Low-Carbon Future

"The strategy of Chevron is simple: to deliver energy with a low carbon footprint," commented Liz Schwarze, Vice President of Exploration at Chevron, when asked about the industry’s contribution to a low-carbon future. She mentioned that the company is investing in new frontiers and has been working to reduce emissions in its global operations.

John Ardill, Vice President of Exploration at ExxonMobil, stated that the company aims to deliver an additional production of 5 million barrels by 2030, as defined in scopes 1 and 2. According to Ardill, success in Guyana is a prime example of investments in geology and collective workforce.

Decarbonization in Downstream

In the last panel of the first day of ROG.e, William França da Silva, Executive Director of Industrial Processes and Products at Petrobras, highlighted the company’s decarbonization actions and improvements in energy efficiency. "We have programs like RefTOP and próGás that aim to reduce the company’s emissions intensity targets from 36 to 30 kgCO2e/CWT."

Juliano Prado, Executive Vice President of B2B at Vibra, emphasized that the company aims to be a multi-energy platform, investing over R$ 4 billion in the energy transition. "With the acquisition of Comerc Energia, that’s about R$ 7 billion. This partnership aims to decarbonize our operations and those of our partners."

Pietro Mendes, National Secretary for Oil, Natural Gas, and Biofuels at the Ministry of Mines and Energy, reiterated the government's commitment to maintaining production in mature fields, pre-salt, and exploring new frontiers. "We must continue on this path, seeking even more renewable derivatives," Mendes highlighted, revealing that the Future Fuel PL will be sanctioned in early October.

Gas for the Transition

Natural gas will continue to play a fundamental role as a transition fuel in the migration to cleaner energy, at least until 2050. This is the vision of Sindre Knutsson, Vice President of Gas at Rystad Energy. "In many countries, an energy transition is not possible without the use of natural gas," he said.

Álvaro Tupiassú, Executive Manager of Gas and Energy at Petrobras, highlighted the R$ 7 billion investment Petrobras will make to expand gas transportation infrastructure in the country. "Petrobras expects to continue offering competitive solutions in gas sales."

Youth in the Energy Sector

At the opening of the Young Summit, a parallel event at ROG.e aimed at students and young professionals, Haitham al-Ghais, Secretary-General of OPEC, emphasized the importance of engaging with the 'generation of the future.' "Projections indicate that the global economy will double in size by 2050. We will need a 24% increase in energy production worldwide, requiring more people to work in this sector, and the youth play an essential role."

Roberto Ardenghy, President of IBP, expressed concern about the current demand in the industry. "There is a tremendous concern for tomorrow. The industry will continue addressing the legitimate concerns of society. To do so, we want to discuss, analyze, and reflect on the role of youth in the energy industry," he emphasized.

The risk of a talent blackout in the sector was also a topic at a panel during ROG.e. In summary, the impacts highlighted by experts relate to the retiring baby boomer generation, technological advances that require specialization, and the low interest of younger individuals in working in the energy sector.

About ROG.e
ROG.e is one of the largest energy events in the world. Organized by IBP, it is expected to receive over 70,000 visitors from 65 different countries, including industry leaders, authorities, investors, academics, and other audiences. There will be 8 warehouses occupied with over 550 exhibitors, 7 parallel events, and the Congress.

ROG.e 2024 is sponsored by Petrobras, Shell, TotalEnergies, Equinor, Galp, Origem, Brava, Petronas, Prio, bp, Chevron, ExxonMobil, Modec, Repsol Sinopec Brasil, SBM Offshore, Acelen, Eletrobras, Excelerate Energy, Ipiranga, Pan American Energy, Vibra, Dell, Nvidia, Naturgy, TechnipFMC, TBG, Trident Energy, ABB, Construtora Elevação, Compass, Foresea, Huawei, Karoon Energy, OceanPact, Perbras, Subsea7, TAG, Transpetro, Vallourec, Renave, in addition to participation from the Federal Government.