Rio de Janeiro – Ever since they started operating in Brazil, in 2004, small and medium independent oil producers have already invested 2 billion Brazilian reals (US$ 1 billion) in oil and natural gas exploration and production at continental basins. The companies’ current output totals approximately 1,700 barrels of oil per day – 0.7% of the entire volume produced in the country.
The total amount invested in the sector is 100% greater than the minimum figure allocated to the industry by the National Petroleum, Natural Gas and Biofuel Agency (ANP) on the occasion of the so-called “rodadinhas” (tenders for blocks at mature basins – which are already explored – and at which the output was already declining).
To the Brazilian Association of Independent Oil and Gas Producers (ABPIP), it is crucial for the sector of independent producers to become consolidated in Brazil, mainly at impoverished regions, following the example of other countries.
According to the chairman of the ABPIP, Oswaldo Pedrosa, the lack of stimulus reduces the chances of job and income generation, prevents the spread of knowledge, and the implementation of industrial infrastructure at municipalities in the interior of the country.
“The success of entrepreneurs depends on the adoption of a regulatory environment favourable to effective government policies, which will enable the independent segment to increase its investment,” he stated.
*Translated by Gabriel Pomerancblum
