Brazil's oil energy plan projects output to double

Brazil's oil production is expected to almost double over the decade bouncing from 2.8Mb/d to 5.2Mb/d, the country's new 10-year energy plan (PDE 2026) pojects.

The estimation considers output associated with four types of oil resources: reserve, contingent, undiscovered and resources located in federal areas.

Reserve resources contribution will mainly come from onerous assignment and its surplus areas, especially from the Búzios and Atapu fields, scheduled to come online in 2018 and 2019, respectively.

Contingent volumes additions are expected to originate from pre-salt areas under the production sharing regime, such as the Libra prospect, whose definitive first oil is scheduled for 2021.

Undiscovered resources refer to oil prospects in contracted areas, which are expected to contribute 3% to national production by 2026.

Last, federal amounts include 18 areas not yet contracted but expected to start production by 2023, reaching a 0.5% share of Brazil's total output by 2026.

Regarding just the reserve oil volumes, total output is projected at 4Mb/d over the period.

Natural gas

The PDE forcasts natural gas production could grow some 40% over the decade, reaching 182Mm3/d, considering reserve, contingent and undiscovered volumes mainly from the Santos, Campos, Solimões and Paranaíba basins.

Considering only reserve resources, output peak is expected for 2022 at 127Mm3/d, then decreasing to 116Mm3/d by 2026.