financetom
Business
financetom
/
Business
/
Exclusive-Petrobras' bid for Galp's Namibia prospect to include at least one partner, sources say
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
Exclusive-Petrobras' bid for Galp's Namibia prospect to include at least one partner, sources say
Aug 2, 2024 10:45 AM

RIO DE JANEIRO (Reuters) - Brazil's Petrobras will include at least one partner in its bid for a 40% stake in Galp Energia's Mopane oil prospect in Namibia, two sources with knowledge of the matter told Reuters.

Last week, Petrobras' director of exploration and production, Sylvia dos Anjos, told Reuters that the state-run firm had made a non-binding offer for a stake that would make it operator of the Mopane block off Namibia's coast. She did not detail how much of the 40% Petrobras was seeking.

The firm will not seek the full 40% stake alone, the sources said on condition of anonymity, one of whom stressed that the bidding would not impact the firm's payout of dividends.

"It's a competitive process in a sought-after area, with potential to be confirmed. The natural thing in a bid like that is to dilute the risk with partners," said one of the sources, who did not say if Petrobras was seeking one partner or more, or if it had already found one.

Petrobras did not immediately reply to a request for comment.

Petrobras' bid comes as it seeks to boost its reserves, but has faced challenges in obtaining environmental licenses to move forward with exploration in Brazil.

The southwest African nation Namibia has come into the spotlight as a new oil and gas exploration hotspot following several major discoveries in recent years along its coast.

Galp wants to sell half of its 80% stake in the field, where estimates show at least 10 billion barrels of oil equivalent, according to the firm.

Assuming an oil recovery factor of 25% of the block's oil reserves, the 40% stake in Mopane could cost around $4 billion, BTG Pactual analysts estimated in a note last week, warning that the investment, along with possible purchases of two refineries in Brazil, could raise risks for dividend payments by Petrobras.

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
US judge should reject Boeing plea deal, crash victim families say
US judge should reject Boeing plea deal, crash victim families say
Jul 25, 2024
July 25 (Reuters) - U.S. District Judge Reed O'Connor should reject a sweetheart plea deal the Justice Department struck with Boeing ( BA ), relatives of some of the 346 people killed in two fatal 737 MAX crashes said on Thursday. Late Wednesday, the planemaker finalized an agreement to plead guilty to a criminal fraud conspiracy charge and pay at...
Becton, Dickinson Partners With Quest Diagnostics on Flow Cytometry-Based Companion Diagnostics
Becton, Dickinson Partners With Quest Diagnostics on Flow Cytometry-Based Companion Diagnostics
Jul 25, 2024
01:46 PM EDT, 07/25/2024 (MT Newswires) -- Becton, Dickinson ( BDX ) and Quest Diagnostics ( DGX ) said Thursday they are collaborating to develop, manufacture and commercialize flow cytometry-based companion diagnostics for cancer and other diseases. The companies said they will aim to provide the pharmaceutical industry with joint offerings ranging from exploratory panel development to the manufacturing and...
Viking Therapeutics Stock Surges As Company Advances Weight Loss Drug To Late-Stage Trial: What Investors Need To Know
Viking Therapeutics Stock Surges As Company Advances Weight Loss Drug To Late-Stage Trial: What Investors Need To Know
Jul 25, 2024
Viking Therapeutics Inc ( VKTX ) shares are rising Thursday after the biotech company announced plans to advance its experimental weight loss drug to late-stage trials. What Happened: After the market close on Wednesday, Viking Therapeutics ( VKTX ) reported financial results for the second quarter that included an update on VK2735, the lead candidate of the company’s unique series...
Vivendi posts H1 growth helped by Lagardère consolidation, Havas
Vivendi posts H1 growth helped by Lagardère consolidation, Havas
Jul 25, 2024
July 25 (Reuters) - French media conglomerate Vivendi reported a 39.3% rise in first-half adjusted operating profit to 619 million euros ($672.30 million) on Thursday, helped notably by consolidation of the publishing group Lagardère and growth in advertising business Havas. WHY IT'S IMPORTANT Vivendi and the Bollore family own a combined 28% stake in the world's biggest music label Universal...
Copyright 2023-2026 - www.financetom.com All Rights Reserved