Brazil's state-controlled oil company Petrobras and Mexico's state oil producer Pemex have signed a memorandum of understanding (MoU) to establish strategic and technical cooperation on projects in the hydrocarbons sector, including exploration and production and industrial processes.
The agreement also provides for the exchange of knowledge on the regulatory frameworks governing the hydrocarbons sector in Brazil and Mexico.
The memorandum includes the joint evaluation, development and execution of projects in exploration and production and industrial processes, as well as cooperation on regulatory and institutional aspects of the sector.
Under the agreement, the companies will evaluate initiatives aimed at the revitalization of mature fields, seismic reprocessing and exploratory and development opportunities in deepwater and ultra-deepwater areas, including assets located in the Gulf of Mexico.
The memorandum also covers cooperation opportunities in refining, petrochemicals, fertilizers, gas processing and liquids recovery, energy efficiency, emissions reduction, carbon capture and the production of lower-carbon-intensity fuels, as well as the sharing of best practices related to safety, operational reliability and environmental protection.
The memorandum is valid for two years and may be renewed. The agreement does not constitute a binding investment commitment and does not create a partnership, consortium or joint venture between the parties. Any opportunities identified will be subject to future negotiations, feasibility analyses and approvals by the parties' respective governing bodies.
"This is a strategic cooperation instrument with significant potential for Petrobras, one that can position the company as a partner to Pemex in a scenario of strengthened oil exploration and production in Mexico.
“We have an interest in exploration in the Gulf of Mexico, on the Mexican side, in increasing production from mature fields, and in industrial processes involving refining, petrochemicals, and fertilizers. This partnership between the two state-owned companies will certainly prove beneficial for both countries," said Magda Chambriard, Petrobras’ Chief Executive Officer.
"The signing of this MoU opens cooperation opportunities to the benefit of the companies, the countries, and their people; it establishes a framework for strategic and technical collaboration to jointly evaluate, develop, and execute comprehensive and promising projects involving hydrocarbon exploration and extraction activities - aimed at new discoveries and opportunities to optimize and increase production in deepwater, heavy and extra-heavy oil areas, mature fields, and pre-salt potential in the Gulf of Mexico - as well as activities related to industrial processes such as refining and petrochemicals," added Juan Carlos Carpio Fragoso, Pemex’ Director General.