Petrobras Declares Extension of Tupi Field FPSO Stay Till 2030

Petróleo Brasileiro S.A. - Petrobras PBR, on behalf of the Tupi field consortium, recently announced an extension to the charter term of the FPSO Cidade de Angra dos Reis by another five years. The extension contract for the floating production, storage and offloading (FPSO) unit was inked with Tupi Pilot MV 22 BV and Modec Serviços de Petróleo do Brasil Ltda. for prolonging the FPSO stay along with certain adjustments to the unit so that it can boost the current production potential.After extending the services of the FPSO for another five years, the consortium expects to decommission the unit in 2030.The Tupi consortium comprises Petrobras, which has an operating interest of 67.21%; Shell, which holds a 23.02% interest; Petrogal, which holds a 9.20% interest; and PPSA, which holds a 0.551% interest.How Will PBR Benefit From the Contract Extension?Along with extending the term of the contract, PBR is all set to make certain amendments to the terms of the agreement to include the provision of certain upgrades to the FPSO unit and to boost the production potential beyond its current levels of about 50,000 barrels per day. The improvements in the FPSO unit will not only bolster production efficiency but will also enhance the integrity of the platform with better operational safety and reduced greenhouse gas emissions.The contract extension seamlessly aligns with PBR’s 2025-2029 business plan and emphasizes its commitment to continuing to expand its operations in the Tupi field.Overview of Cidade de Angra dos Reis FPSOCidade de Angra dos Reis was the first high-capacity FPSO to operate in the pre-salt layer of the Santos Basin. The unit is capable of processing up to 100,000 barrels of oil per day and 5 million m3 of gas. The FPSO is a pioneer of technological advancement as it can remove H2S and CO2 and re-inject CO2 downhole at 550 bar. The FPSO has been working on the Tupi field since October 2010 on a 15-year lease agreement and has received a five-year contract extension to work until 2030.PBR’s Zacks Rank and Key PicksHeadquartered in Rio de Janeiro, Petrobras is the largest integrated energy firm in Brazil and one of the largest in Latin America. Currently, PBR has a Zacks Rank #3 (Hold).Investors interested in the energy sector might look at some top-ranked stocks like Equinor ASA EQNR, Gulfport Energy Corporation GPOR and Cheniere Energy, Inc. LNG.While Equinor and Gulfport Energy currently sport a Zacks Rank #1 (Strong Buy) each, Cheniere Energy carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.Equinor ASA is one of the premier integrated energy companies in the world, with operations spreading across 30 countries. EQNR’s expected EPS growth rate for the next five years is 5.80%, which aligns favorably with the industry growth rate of 5.10%.Gulfport Energy is an independent natural gas and oil company focused on the exploration and development of natural gas and oil properties in North America. The Zacks Consensus Estimate for GPOR’s 2024 earnings indicates 108.53% year-over-year growth.Houston, TX-based Cheniere Energy is primarily engaged in businesses related to liquefied natural gas through its two business segments: LNG terminal, and LNG and natural gas marketing. LNG’s expected EPS (earnings per share) growth rate for the next quarter is 34.27%.Zacks Names #1 Semiconductor StockIt's only 1/9,000th the size of NVIDIA which skyrocketed more than +800% since we recommended it. NVIDIA is still strong, but our new top chip stock has much more room to boom.With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028.See This Stock Now for Free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Petroleo Brasileiro S.A.- Petrobras (PBR): Free Stock Analysis Report Cheniere Energy, Inc. (LNG): Free Stock Analysis Report Gulfport Energy Corporation (GPOR): Free Stock Analysis Report Equinor ASA (EQNR): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks