Information about local content aspects under the jurisdiction of the ANP, as related to Law No. 15.075/2024, which amends Law No. 9.478/1997 and provides other provisions, has been published on the ANP website.

The page can be accessed at: https://www.gov.br/anp/pt-br/assuntos/exploracao-e-producao-de-oleo-e-gas/conteudo-local/conteudo-local-da-lei-no-15-075-2024-1/conteudo-local-da-lei-no-15-075-2024.

The new legislation establishes the following mechanisms to encourage investments in local content in the oil and natural gas supply chain in Brazil:

• The possibility of transferring local content surpluses between contracts for oil and gas exploration and production that are in force, including contracts originating from the ANP's Round Zero Auctions (which do not have a mandatory local content minimum). This means that contracts for goods and services that exceed the minimum mandatory local content in one contract can be used to meet local content requirements in another contract.

• The possibility of granting differentiated accelerated depreciation quotas (which allow for faster expense deductions) for new oil tankers used in cabotage navigation activities for oil and its derivatives, produced in Brazil and meeting minimum local content levels defined in Resolution CNPE No. 15/2024 and regulated by Decree No. 12.242/2024.

• The possibility of reducing the royalty amount for Round Zero contracts to up to 5% of total production, based on investments in new stationary production units (UEPs) with local content, as regulated by Decree No. 12.362/2025.

The ANP is responsible for: investigating, registering, and controlling the transfer of local content surpluses between contracts; measuring and overseeing the fulfillment of minimum local content requirements for oil tankers; assessing the reasonableness of cost differences between new UEPs with and without local content; and certifying the local content of new UEPs for royalty reduction.

The authorization of differentiated accelerated depreciation quotas and royalty reduction lies with other federal government bodies, such as: the Ministry of Mines and Energy, the Ministry of Development, Industry, Trade and Services, and the Special Secretariat of the Federal Revenue of Brazil, under the Ministry of Finance.

To provide transparency in the ANP’s activities and comply with Resolution CNPE No. 15/2024, information about the measurement and oversight of local content in shipbuilding activities, as well as consolidated data on local content surpluses transferred between contracts and certificates of local content issued for UEPs to be allocated to Round Zero contracts, will be published.

What are local content, surpluses, UEP, and royalties?

In this context, local content is the proportion of goods produced and services provided in the country, relative to the total used in the activities of an oil and natural gas exploration and production contract. In some cases, the contract sets a minimum percentage of local content to be contracted.

Local content surpluses are defined in ANP Resolution No. 726/2018 as "the value corresponding to the excess local content, in national currency, in relation to the local content commitment established." Until the publication of Law No. 15.075/2024, surpluses could only be transferred from one phase to a subsequent phase within the same contract.

A stationary production unit (UEP) refers to a production unit installed at sea, containing a set of installations designed to separate, treat, store, and transport produced fluids in an oil and natural gas field, such as platforms.

Royalties are financial compensation due to states, the Federal District, municipalities, and direct federal administration bodies, based on the production of oil, natural gas, and other fluid hydrocarbons.

For more information about local content, visit: https://www.gov.br/anp/pt-br/assuntos/exploracao-e-producao-de-oleo-e-gas/conteudo-local.