Petrobras signs R$ 2.9B pre-salt gas deals with PPSA

Petrobras and Pré-Sal Petróleo S.A. (PPSA) have signed two linked contracts to market federal natural gas produced in the Santos Basin pre-salt region. The deal was concluded on September 10, 2026, and announced by Petrobras on September 21, 2026. The structure uses a Commercializing Agent Model and will run between 2027 and 2029.

In the first agreement, valued at R$ 1.2 billion, Petrobras will buy unprocessed natural gas from PPSA at platform outlets. The gas will come from the Tupi, Sapinhoá, Búzios, Sépia, Atapu, and Itapu fields. Annual contracted volume will range between 584 million and 1.058 billion cubic meters, with energy pricing indexed to Brent crude. The contract begins on January 1, 2027, runs through December 31, 2029, and allows PPSA to terminate early upon prior notice without penalties.

Under the second contract, valued at R$ 1.7 billion, Petrobras will sell processed natural gas back to PPSA at the outlet of the Itaboraí Gas Treatment Unit in Rio de Janeiro. Deliveries will range from 1.1 million to 1.8 million cubic meters per day between March 1, 2027, and the end of 2029. Pricing is tied to the Henry Hub benchmark plus a fixed component. Because both agreements are linked, terminating the raw gas purchase ends the processed gas sales contract.

The transactions follow a resolution by Brazil's National Energy Policy Council to overhaul the commercialization of federal natural gas and authorize PPSA to hold short- and long-term auctions. Brazil's Ministry of Mines and Energy estimates the new rules could cut input costs by more than 50%, aiming to deliver gas to domestic industry at about 5 dollars per million BTU. Petrobras stated its pricing followed an internal study by its Market Intelligence and Energy division.