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Click here to register for our webinar on the 11th Oil and Gas Bid Round, to be presented on February 21, 2013.
Brazil’s President Dilma Roussef recently authorized the 11th Oil and Gas Bid Round. This Bid Round will highlight the Equatorial Margin, formed by the Foz do Amazonas, Pará-Maranhão, Barreirinhas, Ceará, and Potiguar basins, where recent discoveries have been announced.
For the 11th Bid Round, the government initially announced that 172 blocks would be offered, divided into 17 sectors and nine (9) sedimentary basins: Barreirinhas, Ceará, Parnaíba, Espírito Santo, Foz do Amazonas, Pará-Maranhão, Potiguar, Recôncavo and Sergipe-Alagoas.
However, the Brazilian Federal Government has more recently decided to offer an additional 117 exploration blocks in the 11th Bidding Round, including an additional
- 65 blocks in the shallow and deep waters of the Foz do Amazonas Basin,
- 36 blocks in the Tucano Sul Basin,
- 10 blocks in the Pernambuco-Paraíba Basin, and
- 6 deep water blocks in the Espírito Santo Basin.
With this change, there will now be a total of 289 exploration blocks put up for bidding, covering a total area of 155,712 km². The 11th Bid Round will use the concession contract model which has been in force in Brazil since 1997, and the local content rules used for the 2008 Bid Round will also be applicable.
ANP, the Brazilian National Hydrocarbons Agency, has published a calendar for the Bid Rounds that contemplates a March 26, 2013 deadline for submitting the required documents for an expression of interest, May 14-15 for submitting a bid, and August 2013 for execution of the awarded concession contracts. Dates for the Bid Round are subject to change by the ANP.
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Event |
Date |
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Start of the term for the delivery of documentation for the expression of interest and the documents required for Qualification and Habilitation
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January 24, 2013 |
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Data Package Availability
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January 25, 2013 |
|
Beginning of Public Consultation
|
January 25, 2013 |
|
Final deadline for comments to the Pre-Tender package and end of public consultation
|
February 4, 2013 |
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Public Hearing (Rio de Janeiro)
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February 19, 2013 |
|
Tender and Concession Agreement published
|
March 11, 2013 |
|
Technical and Environmental Seminar
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March 18, 2013 |
|
Tax and Legal Seminar
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March 19, 2013 |
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Final deadline for the delivery of documentation related to the Expression of Interest and Documentation related to Qualification and Habilitation
|
March 26, 2013 |
|
Final deadline for the payment of the Participation Fees
|
March 26, 2013 |
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Final deadline for the presentation of the Bid Bonds
|
April 26, 2013 |
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Offer presentation deadline
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May 14 and 15, 2013 |
|
Concession Agreement Execution |
August 2013 |
2013 is shaping up to be an active year for upstream Bid Rounds in Brazil. A Bid Round for non-conventional oil and gas is expected for later this year, as well as an additional Bid Round under the new production sharing contracts for the pre-salt layer.
For more information, please contact any of the following members of our Brazil Practice Team:
*This client alert is solely for general informational purposes and shall not be deemed legal advice. Haynes and Boone, LLP is not licensed to practice Brazilian law.
Click here to register for our webinar on the 11th Oil and Gas Bid Round, to be presented on February 21, 2013.