Petroleo Brasileiro Petrobras SA ADR

Petrobras said Friday it made another oil discovery in ultra-deep waters off Amapá state, strengthening indications of hydrocarbon potential along Brazil's Equatorial Margin. The find follows the company's August discovery, when Petrobras first identified the presence of oil and natural gas at the Morpho exploration well in Block FZA-M-59 in the Foz do Amazonas Basin; the oil found in August was of good quality, the company said. Petrobras said the new discovery expands knowledge about the exploration potential of the area and will provide additional information for assessing the petroleum systems and resource potential of the Foz do Amazonas sedimentary basin. The continued drilling of Morpho was aimed at evaluating deeper exploration intervals and led to this new discovery, the company added. Petrobras said recently it plans to drill three new wells in the area starting in January to determine the viability of commercial production in the environmentally-sensitive region.

Petrobras' P-80 platform, also known as Búzios 9, has left the Tuas Boulevard Yard shipyard in Singapore and is heading toward the Búzios field in Brazil's pre-salt Santos Basin, the first of six giant units being developed by the company and expected to begin production in 2027. The P-80 is designed to produce up to 225,000 barrels of oil and process 12 million cubic meters of natural gas per day, placing it among the largest units of its kind in the global industry. Petrobras' director of engineering, technology and innovation, Renata Baruzzi, said the platform combines high production capacity with advanced technologies and digital solutions intended to enhance operational and energy efficiency. The P-82, next in the series and also scheduled to start production in 2027, is in the final stages of construction, and Petrobras is using a series-based construction approach across the six platforms to reduce costs and improve shipyard productivity. The P-80 process modules were manufactured in Brazil at the Seatrium BrasFELS shipyard in Angra dos Reis, while P-82 modules are being produced at the Seatrium Aracruz shipyard in Espírito Santo, with construction also taking place in China, Singapore and Indonesia. Petrobras operates Búzios in partnership with CNOOC, CNPC and Pré-Sal Petróleo SA (PPSA), and the field set monthly and daily natural gas export records in August, exceeding 10 million cubic meters per day on a monthly basis and reaching 14.1 million cubic meters per day on a daily basis.

Brazilian state-controlled energy giant Petrobras has unveiled two new Cardano-based blockchain applications focused on the traceability of lower-carbon fuels. The two applications mark the company's latest move into distributed-ledger technology for tracking its energy products. Petrobras is Brazil's state-controlled oil major, and the projects center on verifying the origin and movement of lower-carbon fuels. No financial terms or deployment timeline were disclosed.

Cheniere Energy's subsidiary Cheniere Marketing has entered into a 22-year LNG sale and purchase agreement with Petrobras, Brazil's largest oil and gas company, for approximately 0.8 million tons per annum of LNG on a free-on-board basis. The deal adds long-duration contracted volumes to Cheniere's portfolio and supports its strategy of expanding brownfield liquefaction capacity at existing facilities. Cheniere chairman, president and chief executive officer Jack Fusco said the agreement reinforces the company's position as a leading global LNG provider while providing additional commercial support and fixed-fee cash flow visibility to underpin further brownfield liquefaction capacity growth. For Petrobras, the 22-year SPA secures long-term supply visibility, while the FOB structure gives the buyer greater flexibility over LNG logistics and transportation. Both Cheniere Energy and Petrobras currently carry a Zacks Rank #3 (Hold).

Petrobras announced on September 17 that it had signed production-sharing contracts for eight offshore exploration blocks in Ivory Coast, taking a 90% operating stake in each block while state-owned Petroci holds the remaining 10%. The Brazilian energy giant is looking to replenish reserves beyond Brazil, since production from its pre-salt fields is expected to peak around the middle of the next decade, and it will need to add about 9 billion barrels of oil equivalent to its reserves through 2050 to maintain current production levels. Petrobras has earmarked $7.1 billion specifically for exploration over the next five years and plans to make Africa its main exploratory region outside Brazil, following earlier pursuits in Ghana, Namibia, and Sao Tome and Principe. The Ivory Coast blocks are still exploration assets rather than producing fields, so they add no immediate revenue or earnings, and even a discovery would take years of development before material production could begin. The 90% stake gives Petrobras substantial control over exploration and potential development decisions, but also leaves it responsible for most of the exploration expenditure and execution risk.

Petrobras signed a Memorandum of Understanding with Mozambique's National Hydrocarbons Company, ENH, on Sept. 22, establishing a framework for potential collaboration across several areas of the energy value chain. The agreement, which will remain in effect for two years and may be renewed by mutual consent, covers studies, project evaluation, development and commercialization, along with knowledge sharing and technical expertise exchanges. The MoU was signed by Petrobras' director of Exploration and Production Sylvia Anjos and executive manager of Exploration Jonilton Pessoa, while ENH was represented by chairman of board of directors Rudêncio Morais and administrator Alegria Cossa. The MoU does not by itself represent a commitment to a specific investment or project, and it provides no details on investment amounts, production targets or expected financial returns, so any material contribution to Petrobras' production, revenues or cash flow would depend on the identification, evaluation and subsequent development of specific projects. ENH serves as the commercial arm of the Mozambican government for activities spanning oil and gas research, production, processing, commercialization and distribution, and Mozambique has developed into an important natural gas market in Africa. Investors should watch whether the two companies announce joint studies, project evaluations or concrete development plans during the MoU's two-year validity period.

ExxonMobil said it believes the next wave of large oil and natural gas discoveries in South America's northern equatorial margin will occur in Brazil, following the giant success in Guyana and, to a lesser extent, Suriname. "The next chapter is going to be written in Brazil, and we want to be a part of it," Exxon senior VP of deepwater Hunter Farris said at the ROG.e 2026 conference in Rio de Janeiro, pointing to the company's achievements in Guyana. Exxon once operated key assets in Brazil's pre-salt areas without making a commercial discovery, but in June 2025 it partnered with Petrobras to acquire exploration rights for 10 deepwater blocks in the Foz do Amazonas basin. Petrobras expects to begin a closely watched appraisal program in the Foz do Amazonas early next year to start work on three new wells, after recently identifying the presence of oil and gas in the Morpho exploration well and receiving authorization from Brazil's Ibama environmental agency to start drilling. "Morpho was indeed a positive response, something we waited for over a decade, but we will need all three wells to make a correct assessment," Petrobras exploration and production director Sylvia Anjos told the conference.

Petrobras said it received R$448 million, or $85 million, under a federal gasoline subsidy program, pushing its cumulative receipts from government fuel-support measures to R$9.9 billion, roughly $1.9 billion. The latest payment covers gasoline sold between July 16 and July 31 under Provisional Measure 1,358, and the R$9.9 billion total includes subsidies paid to Petrobras for diesel, gasoline and liquefied petroleum gas. That gasoline program has since expired, with Provisional Measure 1,358 ceasing to be effective on September 9, prompting Petrobras to discontinue a R$0.44-per-liter gasoline discount from September 10. Petrobras said its board approved participation in a new diesel subsidy under Provisional Measure 1,391, which covers producers and importers of road diesel and provides R$1.00 per liter of diesel A for 30 days, with the possibility of extending the measure for another 30 days. The new program can operate alongside an earlier diesel subsidy under Provisional Measure 1,363, which provides R$1.12 per liter, and Petrobras said benefits under the two programs are cumulative. Petrobras has already adjusted its diesel pricing, raising its diesel A sales price to distributors by R$1.00 per liter from September 17 while applying an equivalent subsidy-backed discount, leaving the effective price impact offset by the government support.

Sempra Infrastructure, a subsidiary of Sempra, signed a 20-year agreement on September 14 to sell roughly 0.8 million tonnes of liquefied natural gas a year to Petrobras, the first time a South American company has signed on as an LNG customer. The volumes will flow from Port Arthur LNG Phase 2, a Texas project that reached a positive final investment decision in September 2025 and is expected to bring its two liquefaction trains online in 2030 and 2031, adding about 13 million tonnes of capacity and nearly doubling the total Port Arthur facility to roughly 26 million tonnes a year. Sempra's second-quarter 2026 GAAP earnings jumped to $1.21 per diluted share from $0.71 a year earlier, while adjusted earnings rose to $1.16 from $0.89, and management raised full-year GAAP EPS guidance to a range of $5.02 to $5.55 while keeping its 7% to 9% long-term earnings growth target intact. In Texas, ERCOT set an all-time peak load of 91 gigawatts in July and regulators have endorsed more than $7 billion of new transmission spending to support 16 gigawatts of that growth, with a newly approved interconnection process called Batch Zero potentially making roughly 44 gigawatts of large-load requests eligible for service. Sempra's five-year capital plan calls for roughly $65 billion of spending, backed partly by asset sales including a deal to sell 45% of Sempra Infrastructure Partners to KKR affiliates and a separate sale of its Ecogas México unit, both still working through final approvals.

Vallourec has secured the entire carbon-steel line pipe and external coating scope for Petrobras's Sepia 2 offshore development in Brazil's Santos Basin, covering roughly 130 kilometers of rigid risers and flowlines. The contract, awarded by Subsea7, represents more than 15,000 tonnes of carbon-steel seamless line pipe designed for highly corrosive environments, with Vallourec also applying thermal insulation coating through one integrated offer. Vallourec shares rose around 6% on the announcement. The pipes will be manufactured at Vallourec's Jeceaba plant in Minas Gerais, while the thermal insulation coating will be applied at its Serra facility in Espírito Santo. Sepia 2 sits around 280 kilometers off the Brazilian coast in ultra-deep water, with 15 wells connected to a new floating production, storage and offloading vessel at depths of roughly 2,170 meters. No financial value was disclosed, but the order adds to recent offshore wins including Petrobras-linked projects at Atapu and Búzios, and follows a 2025 agreement with Petrobras that could generate up to $1 billion of revenue from offshore OCTG products and services between 2026 and 2029.

Petrobras wants to raise diesel prices at its refineries but is waiting for the Brazilian government to take measures to shield consumers from the increase, Reuters reported Thursday, citing two sources at the state-run oil company. An increase would help narrow the gap between domestic diesel prices and global benchmarks, which has widened due to the Middle East war and diesel export restrictions from Russia. According to the report, the price gap would almost disappear with a 1 real per liter increase. The increase would be possible due to a new diesel subsidy set initially at 1 real per liter to be added to an existing subsidy of about 1.12 reais per liter, though details of the measure have not been disclosed. Petrobras also said a package of government tax measures will result in a reduction of 0.19 real per liter in gasoline prices for consumers, reversing an earlier announcement that had implied a raise in prices to distributors.

Petrobras has received regulatory approval from Brazil's environmental regulator Ibama to drill three additional wells in the Foz do Amazonas basin, part of its exploration program in the Equatorial Margin. The authorization, granted on September 3, 2026, covers the Manga, Crotalus, and PAD Morpho wells in block FZA-M-59 and allows the deployment of a second drillship, the Amaralina Star, alongside the ODN II, though the two rigs cannot operate simultaneously and the Amaralina Star must pass an Ibama inspection first. The new wells aim to delineate the reservoir associated with the Morpho discovery, where hydrocarbons were confirmed on August 14, 2026. This approval marks a shift from initial exploration to detailed evaluation, potentially strengthening Petrobras' long-term resource base, though near-term earnings impact is limited. Petrobras must submit an updated drilling schedule within 30 days, and regulatory compliance remains a key factor in the pace of activity.

KNOT Offshore Partners reported second-quarter 2026 revenue of $96.8 million, operating income of $15.6 million, net income of $3.4 million, and adjusted EBITDA of $57.6 million, with utilization of 96.8% excluding scheduled drydocking. The partnership raised its quarterly distribution to $0.075 per common unit, up from $0.05 in the prior quarter, and acquired the Hedda Knutsen for a net cash cost of $24.4 million, adding a vessel chartered to Petrobras through 2034. It also refinanced $225 million of debt at SOFR plus 165 basis points, and management cited tightening shuttle tanker market conditions in Brazil and the North Sea. The partnership had full charter coverage for the rest of 2026, with 92% of 2027 covered on a firm basis.

Petrobras reported a second-quarter 2026 earnings beat, with earnings per ADS of $1.72 versus the Zacks Consensus Estimate of $1.52, as record production, higher exports, and a sharp rise in Brent prices lifted results. Revenues surged 59.8% year over year to $33.61 billion, topping the consensus mark by 9%. Adjusted EBITDA reached $19.96 billion, up 95.1% year over year, while refinery utilization hit a record 101.2% and oil-products output rose 10.9% to 1.918 million barrels per day. The company identified about 270,000 barrels per day of remaining ramp-up capacity for the second half of 2026, but management expects Brent to move back toward strategic-plan assumptions, which could test earnings durability. Petrobras currently carries a Zacks Rank #4 (Sell), despite strong Style Scores of A across value, growth, momentum, and VGM.

KNOT Offshore Partners announced Wednesday it has agreed to acquire the Hedda Knutsen shuttle tanker from Knutsen NYK Offshore Tankers for $113 million, less $89.4 million of outstanding debt, bringing the net cost to $24.4 million. The 154,000 deadweight-tonne DP2 Suezmax-class vessel, built by COSCO Shipping Heavy Industry and delivered in 2024, is currently operating in Brazil on a time charter with Petrobras that expires in November 2034, with an option for an additional five years. In a related move, the partnership said its vessels Tordis Knutsen, Vigdis Knutsen, Lena Knutsen, Anna Knutsen, and Brasil Knutsen have entered into a new $225 million senior secured credit facility, with DNB Bank acting as agent, to refinance $225.8 million in existing term loans. The facility comprises a term loan repayable in 20 consecutive quarterly installments, with a $111.1 million balloon payment due at maturity in June 2031.

Mexico's Pemex and Brazil's Petrobras have signed a memorandum of understanding to jointly explore deepwater and ultra-deepwater prospects in the Gulf of Mexico, targeting Jurassic source rocks beneath the Campeche salt layer. The partnership aims to leverage Petrobras' two decades of pre-salt drilling experience to unlock resources that could reverse Pemex's declining output, which averaged 1.66 million barrels per day in the second quarter, below the government's 1.8 million target. Pemex's 2018 exploratory well reached over 7,800 meters below the sea floor but was declared unproductive, yet analysts say the company likely saw enough potential to keep testing. A successful campaign could open a major new oil and gas province and ease Pemex's heavy debt burden, which contributed to a 70% drop in second-quarter net profit.

Brazilian President Luiz Inácio Lula da Silva has hailed a new offshore oil discovery by Petrobras near the mouth of the Amazon River as a passport to the country's future, continuing his support for controversial oil and gas drilling in ecologically sensitive regions. Last week, the state-run oil and gas giant announced it has found oil at the Morpho-1 well in Block FZA-M-59, roughly 180 kilometres off the coast of Amapa state, with CEO Magda Chambriard saying all studies indicate substantial potential though recoverable volumes are yet to be determined. The ultra-deepwater exploratory well faced considerable regulatory hurdles, with environmental agency Ibama initially rejecting the drilling application in May 2023 before a federal regulator issued the operating license in October 2025, and drilling was halted in January after an estimated 18,000 liters of synthetic drilling fluid leaked into the ocean. The Equatorial Margin could hold between 20 to 30 billion barrels of oil across adjacent basins like Pará-Maranhão, and its geological profile mirrors the ultra-deepwater formations in nearby Guyana and Suriname, where the Stabroek Block owned by Exxon Mobil and partners holds at least 11 billion barrels of recoverable oil. Brazil's oil production hit an all-time high of 4.5 million barrels per day in July, up 19.2% year-over-year, driven by new Floating Production Storage and Offloading vessels at pre-salt fields such as Tupi, Búzios and Mero, but output is projected to peak and decline around 2034-2035, making the Equatorial Margin strategically important. Petrobras has allocated roughly $2.5 to $2.7 billion to exploratory drilling in the Equatorial Margin through 2030, and Lula has made the discovery part of his economic and energy-security pitch as he campaigns for a fourth presidential term.

Petrobras reported record quarterly net profit and gross profit for the second quarter of 2026, driven by production volumes that exceeded its own targets. The company pumped 2.7 million barrels of oil per day, a 15% increase from a year earlier and 200,000 barrels per day above its 2.5 million target, with the Almirante Tamandare FPSO at Buzios reaching a peak of 270,000 barrels per day against a nameplate capacity of 225,000. Refining utilization topped 100% for the quarter, helping cut oil product imports by 40% from the prior quarter and lift exports by 12%, while adjusted EBITDA reached $20 billion, up 70% from the first quarter. Capital spending rose to $5.3 billion, and first-half operating expenses of $11.7 billion already exceeded half the full-year plan of $20.2 billion, pressured by freight and logistics costs and exchange-rate swings. Petrobras prepaid $2.9 billion in debt and is targeting $65 billion in net debt, while management highlighted that future growth depends on continued ramp-ups at Buzios and offshore gas developments like Colombia.

Siemens Energy has secured two major contracts, including a deal with Babcock & Wilcox to supply 20 steam turbines totaling 1 GW of capacity for AI data center power projects, and a separate agreement with SBM Offshore to provide power generation and gas compression systems for Petrobras-operated FPSO units in Brazilian offshore fields. The contracts extend Siemens Energy's footprint in data center power infrastructure and offshore oil and gas, adding to an already large backlog that the company has flagged as a potential source of working capital strain and execution risk. The 1 GW data center turbine deal reinforces the potential for gas power contracts to benefit from surging electricity demand, while the Petrobras-related work aligns with diversified international order intake and service potential.

Petrobras reported second-quarter consolidated net income attributable to shareholders of $10.4 billion, up from $4.7 billion in the same period last year. Revenue rose 60 percent year-over-year to $33.6 billion, exceeding analyst estimates by $2.35 billion.

Brazilian state oil company Petrobras reported second-quarter net profit of 52.4 billion reais, a 96% increase from the same period last year, marking the third-highest level in the company's history. Soaring crude oil prices amid the US-Iran conflict boosted performance, with profit exceeding the 44.7 billion reais analyst consensus compiled by LSEG. Adjusted EBITDA rose 79.6% to 93.8 billion reais, and net revenue climbed 42.3% to 169.5 billion reais, both beating market expectations. The company announced it will pay shareholders 17.4 billion reais in dividends and interest on equity. On the other hand, the Brazilian government's fuel price control measures, export tax payments, and delays in receiving subsidies weighed on results.

SBM Offshore raised its full-year 2026 guidance after reporting a record first half. Directional revenue increased to $4.9 billion and directional EBITDA nearly doubled to $1.3 billion, driven by new contracts including the FPSO SEAP 1 and SEAP 2 awards from Petrobras and a feed contract for ExxonMobil Guyana's long-tail development. The company's backlog reached a record $35.6 billion, and it now expects full-year directional revenue of around $7.6 billion and directional EBITDA of around $1.9 billion. Fleet uptime remained around 99% across 16 operating units, and the company is on track to deliver a minimum of $2.1 billion in shareholder returns for 2026-2031. The sale of FPSO One Guyana and a minority interest in FPSO Dalji helped reduce net debt to $3.7 billion, though the company noted a fatality at a subcontractor's yard in China and ongoing working capital drag.

Petrobras and Ecopetrol announced a deepwater natural gas discovery offshore Colombia with the drilling of the Sandía-1 exploratory well. The well is located 18 kilometers from the Sirius-1 and Sirius-2 wells and 9 kilometers from the Copoazu-1 well, indicating strong gas potential in the Sirius area. The companies have so far unlocked in-place volumes of more than 6 trillion cubic feet of gas in the Sirius area with the drilling of five wells in water depths of more than 1,000 meters in Block GUA-OFF-0 in the Guajira Offshore basin. Petrobras operates the block with a 44.44% stake, while Ecopetrol holds 55.56%.

Petrobras reported record oil and gas production in the second quarter of 2026, with average equity output reaching 3.34 million barrels of oil equivalent per day, a 14.1% increase from a year earlier and 3.4% above the first quarter. The growth was driven by improved operating efficiency and production ramp-ups at several floating production units, including the Maria Quitéria FPSO, the Alexandre de Gusmão FPSO, the P-78 unit, and the startup of the P-79 platform at the Búzios field, where average monthly production surpassed 1 million barrels per day for the first time in June. The company also achieved a record refinery utilization rate of 101.2%, surpassing the previous high set in 2014, which helped lift refined product output to 1.918 million barrels per day and reduce imports of refined products to a record low of 67,000 barrels per day. Pre-salt crude represented 73% of refinery feedstock during the quarter, and in April all of Petrobras' refineries became capable of processing 100% pre-salt crude under its RefTOP modernization program. Higher crude production also pushed exports to nearly 1 million barrels per day while crude imports fell to 89,000 barrels per day, their lowest since the COVID-19 pandemic.

Vallourec has been awarded a contract by Allseas to supply carbon steel seamless line pipes and thermal insulation coating for the Atapu 2 offshore project in Brazil. The contract covers 143 kilometers of rigid risers and flowlines, representing approximately 19,000 tons of bare line pipe. The pipes will be produced at Vallourec's Jeceaba mill, while the coating will be applied at its Serra facility, leveraging capabilities from the recent acquisition of Thermotite do Brasil. The Atapu 2 project, operated by Petrobras on behalf of the Unitized ATAPU consortium, will develop part of the Atapu Field in the Santos Basin at water depths between 2,000 and 2,350 meters, with 18 wells connected to a floating production storage and offloading unit.

The Franklin FTSE Brazil ETF, trading under the ticker FLBR, has outperformed the iShares MSCI Brazil ETF, EWZ, by roughly 5 percentage points year-to-date in 2026 while charging an expense ratio of 0.19 percent, less than one-third of EWZ's 0.59 percent. FLBR returned 17.65 percent through July 13, 2026, compared with 12.46 percent for EWZ, and over the trailing year it gained 37.61 percent against EWZ's 34.44 percent. The performance gap stems from the lower fee and differences in index construction: FLBR excludes Nu Holdings, which accounts for 9.18 percent of EWZ, and runs heavier exposure to Vale and Petrobras, with Vale at 11.39 percent of FLBR versus 9.94 percent of EWZ. FLBR also offers a higher dividend yield of 5.84 percent. For investors in tax-advantaged accounts, swapping from EWZ to FLBR is straightforward, but taxable holders with large embedded gains may find the tax hit outweighs the fee savings.

Petróleo Brasileiro S.A. – Petrobras has approved a mechanism to limit gas price volatility by introducing floor and ceiling levels tied to Brent crude prices. The mechanism ensures that the gas price will not increase by 6% for state distributors in August and will apply to all customers who choose to adopt it by amending their supply contracts. This move comes as Brazil scales back government fuel support and follows a June 23 non-binding memorandum of understanding with Petróleos Mexicanos to collaborate on oil exploration, production, and refining in the Gulf of Mexico.

Petrobras has signed an agreement with Brazil's oil regulator ANP to bring 335 temporarily abandoned offshore wells into full compliance by the end of 2030. The deal requires Petrobras to pay 300 million Brazilian reais, approximately $58.3 million, to the regulator. The company has already completed compliance work on 233 of the 335 wells, leaving 102 wells still to be addressed. The agreement provides a structured roadmap and timeline rather than immediate enforcement actions, reflecting a collaborative approach between the state-run energy giant and the regulator. This settlement resolves outstanding regulatory issues and reinforces Petrobras' commitment to safety and environmental standards in its offshore operations.

Oceaneering International has been awarded a four-year contract by Petrobras to provide remotely operated vehicle services offshore Brazil. The company will supply two work-class ROVs and specialized tooling packages, along with monitoring and positioning support services, with operations expected to begin in 2027. The ROV systems will be deployed from the AKOFS Offshore vessel Aker Wayfarer, which Petrobras has contracted for intervention, installation and abandonment activities. Financial terms were not disclosed. Oceaneering noted it has supported Petrobras' subsea engineering campaigns for more than a decade and has operated in Brazil for nearly 30 years through its subsidiary Marine Production Systems do Brasil.

Petrobras has received board approval for a $1.2 billion investment to construct a new biofuels facility at the Presidente Bernardes Refinery in Cubatão, Brazil. The project is scheduled to begin construction by the end of 2026 and is designed to produce 15,000 barrels per day of bio-jet fuel and renewable diesel, with operations expected to start in 2030. This initiative is a core component of the company's 2026–2030 Business Plan and aligns with Brazil's Future Fuel Law, aiming to support international aviation standards such as the Carbon Offsetting and Reduction Scheme for International Aviation, or CORSIA, while advancing a broader energy transition strategy.

Petrobras announced an agreement to acquire a 50% stake in the Itaimbezinho exploration block within Brazil's Campos Basin from Equinor. Equinor will retain the remaining 50% interest and continue as operator, while Pré-Sal Petróleo S.A. maintains management of the production-sharing contract. The deal, pending Brazilian regulatory approval, supports Petrobras' exploration pipeline to offset production declines in mature fields and aligns with its 2026-2030 Business Plan prioritizing exploration and strategic joint ventures. The partnership builds on existing collaborations between the companies, including the Raia gas development.

Petrobras and Finep have launched a R$150 million program to accelerate domestic electrolyzer technology and strengthen Brazil's low-carbon hydrogen economy. The initiative will fund a single large-scale strategic project through a public call, requiring consortia of at least three technology companies and one research institution. Projects must demonstrate clear advancements over current international systems, with at least 50% domestic content. The non-repayable funding is split equally between Petrobras and Finep, covering the full development cycle from design to a pre-commercial prototype. The effort aims to close Brazil's electrolyzer manufacturing gap, where no company currently produces electrolyzer stacks, and aligns with broader national energy transition investments.

Petrobras announced that its flagship Búzios field in Brazil's Santos Basin pre-salt province has reached a record average daily production of 1.1 million barrels of oil, surpassing the previous milestone of 1 million barrels per day achieved in October 2025. The increase reflects accelerating output from the recently commissioned P-78 and P-79 floating production, storage, and offloading units, which are still ramping toward their nameplate capacities of 180,000 barrels per day each. Búzios is Brazil's largest producing oil field and accounts for roughly one-third of all oil production operated by Petrobras in Brazil, including partner volumes, and nearly half of the company's equity production. The field currently produces through eight offshore facilities, with plans to ultimately operate a total of 12 FPSOs, as three additional units are under construction and a twelfth remains in the procurement phase. Located in ultra-deep waters more than 2,000 meters below sea level, Búzios is only the second field in Petrobras' portfolio to exceed 1 million barrels per day after the neighboring Tupi field.

Petrobras and Pemex have signed a non-binding memorandum of understanding to cooperate on exploration, production, refining, and industrial energy processes. The two-year framework targets joint evaluation of opportunities in the Gulf of Mexico, including deepwater blocks and mature fields requiring enhanced recovery, with Petrobras contributing ultra-deepwater expertise and Pemex offering operational experience in legacy assets. The agreement also covers downstream collaboration in refining, petrochemicals, and fertilizers, alongside structured technical knowledge exchange. Any future projects will require separate negotiations and regulatory approvals.

Petróleo Brasileiro’s Board of Directors approved the Final Investment Decision for the RPBC Biorefining project. The project involves building a dedicated plant at the Presidente Bernardes Refinery in Cubatão, São Paulo state, to produce bio-jet fuel and renewable diesel, with an estimated investment of around US$1.2 billion. Construction is expected to begin by the end of 2026, and the plant will have a production capacity of up to 15,000 barrels per day of renewable fuels, with start-up scheduled for 2030. The project is included in the company’s Business Plan 2026–2030 and has been incorporated into the Base Implementation Portfolio after a consideration of financing conditions.