RIO DE JANEIRO, July 18 (Reuters) - Brazilian state-run

firm Pre-Sal Petroleo (PPSA), which represents the government in

pre-salt oil production sharing contracts, said that 10 firms

will participate in an upcoming oil auction, upping estimates

for the revenue it will generate.

The new forecast of 15 billion reais ($2.71 billion) is

about 2 billion reais higher than the previous one, said the

firm, adding that the number of participants in the auction -

expected to take place on July 31 - is a record.

PPSA now expects to auction 37.5 million barrels of oil,

compared to 33 million previously, it said in a statement on

Wednesday.

The list of companies qualified for the event include

Brazil's state-run Petrobras and Shell, the

country's two largest oil producers.

ExxonMobil ( XOM ), China's CNOOC Petroleum and

Petrochina, Norway's Equinor ( EQNR ), Portugal's

Galp and France's TotalEnergies, among

others, are also on the list.

The record number of participants indicates greater market

interest in the lots, upping the expectation of competition,

said PPSA's interim head Tabita Loureiro.

Until now, the largest number of companies qualified for an

oil auction had been registered in a 2021, when six companies

sent documentation and three submitted bids.

($1 = 5.5390 reais)