Petróleo Brasileiro (Petrobras) has unveiled plans to divest the Azulão field in Brazil as part of its sale strategy to raise nearly $21bn by the end of next year.

The company started the disclosure phase of the teaser regarding the transfer of its interest in the field, which is located in the Amazonas Basin.

The Brazilian state-owned oil company has 100% interest in the natural gas asset in Concession BA-3 in Amazonas state, located 290km east of Manaus.

Petrobras stated that the new buyer would get the opportunity to develop and commercialize a natural gas discovery which isn’t too far away from an existing infrastructure in a hydrocarbon field and also the Tucuruí-Manaus power transmission line.

Discovered in 1999, the Azulão field has seen three wells drilled in it, out of which two have been classified as productive. The field was declared to be commercial in 2004 with the declaration to expire in 2031.

Petrobras had discovered a significant volume of natural gas in the field whose reservoirs it says are primarily sandstone having high static pressure and porosity. Further, it says that the land it has rented near the field is large enough to accommodate a power plant and gas treatment plant.

The oil giant wants the prospective bidders to meet at least one of two conditions it has laid out to qualify for a 100% stake in the gas asset.

First of the two requirements is that the bidder must have experience in exploration and production in the Amazonas or Solimões Basin in Brazil. While, the second is that the bidder must hold a minimum thermoelectricity installed capacity of 200Mwh in Brazil.

Petrobras has also put up some other conditions apart from the two requirements. One of them being that the prospective buyer will not be permitted to create a consortium with other companies to take part in the bidding process.

Earlier in the month, the Brazilian oil company announced divestitures of its stake in Petrobras Oil & Gas which owns assets in Africa and the US-located Pasadena Refinery.


Image: Location of the Azulão field in Brazil. Photo: courtesy of Petrobras.