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Brazil Round 2

The 2nd Bidding Round for Exploration and Production of Oil and Natural Gas was announced on September 30, 1999. It offered 23 blocks - 10 onshore blocks and 13 offshore - distributed in 9 Brazilian sedimentary basins: Campos, Santos, Sergipe-Alagoas, Camamu-Almada, Pará-Maranhão, Recôncavo, Potiguar, Paraná and Amazonas.

This block selection had as objective: increase and accelerate the exploratory activity, facilitate the transfer of technology, knowledge and best practices of the oil industry and lay the foundations for the development of a competitive, efficient, and dynamic petroleum sector.

The 2nd Bidding Round took place on June 07, 2000 and was attended by 27 companies (44 were previously qualified). 21 blocks were purchased by 16 winning companies, corresponding to an area of about 48 thousand km² (almost 60 thousand km² were offered). ANP collected R$ 468 million in Signature Bonus. The average local content was 42% in the exploratory phase and 48% in the development phase.

The 2nd Round marked the consolidation of the entrance process of new agents in the Brazilian exploratory scenario. In contrast to what occurred in the 1st Bidding Round, when the winners were, in their majority, large companies, the list of 16 winning companies includes several medium-sized or independent enterprises. Five Brazilian companies succeeded and became concessionaires.

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