Brazil’s auction of production-sharing rights for “surplus” oil on pre-salt areas covered by a transfer of rights (ToR) agreement caused some disappointment at home, but the result was a rational one.
With the exception of Chinese involvement, international oil companies shied away from an offer that would have required complex “co-participation” negotiations with the established operator, and could even have led to a battle over operatorship.
Petrobras can now consolidate itself as operator on the super-productive Buzios field and, once the law is clarified, can even look for more partners without falling into new legal complexities.
