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Brazilian oil and gas company PRIO, formerly known as PetroRio, has sold its interest in a Petrobras-operated gas field off Brazil to Gas Bridge, in a bid to focus on its operated assets.
![](https://www.offshore-energy.biz/wp-content/uploads/sites/6/2023/11/Manati-Source-Enauta.jpg)
Originally, PRIO entered into an agreement in November 2020 with Gas Bridge to sell its 10% interest in the Manati gas field for R$144.4 million (approximately $26.25 million at the time). On the other hand, Gas Bridge also reached separate agreements with Enauta and GeoPark to buy their stakes in the Manati field while Petrobras put its stake up for sale in May 2020.
Several months after PRIO made up its mind to retain its interest in the field, as the previously set conditions for the sale to Gas Bridge were not fulfilled, the Brazilian player had a change of heart and decided to divest its 10% interest to the same buyer for the total amount of R$124 million (around $23.43 million back then).
In an update on November 16, 2023, PRIO confirmed that it had received the payment regarding the conclusion of the sale of its 10% interest in the field to Gas Bridge Storage. As a result, the National Agency of Petroleum, Natural Gas, and Biofuels was notified regarding the closing of the deal, thus, the formal procedures were completed.
The total value of the transaction was R$124 million, of which R$24.8 million was paid after the signing of the contract and R$85.7 million was paid on November 16, after the applicable price adjustments. The interest in the Manati field was acquired in 2017 for R$140 million, generated R$350 million of cash to the date that the contract was signed and, after the conclusion, returned 3.4 times the invested capital. PRIO no longer holds a stake in the asset.
Located in the Camamu-Almada Basin, in the state of Bahia, the Manati field is one of Brazil’s largest non-associated natural gas fields. In addition to gas, the field also produces condensate. The field’s wells are connected by subsea lines to the PMNT-1 platform and gas flows through a 36 km pipeline to the compression plant (SCOMP), where it is compressed and travels another 89 km to the processing plant (EVF).
Petrobras operates the Manati field with a 35% stake in it, while its partners are Enauta Energia with a 45% interest, GeoPark, and Gas Bridge, which hold 10% each. This sale is part of PRIO’s strategy to generate value through dynamic management of its asset portfolio and reinforces the firm’s focus on the operated assets that compose the core of its business.
The Brazilian player is also working on creating a production cluster through the tie-back between the Wahoo and Frade fields. The company is interested in expanding its portfolio, as demonstrated by its acquisition of TotalEnergies’ interest in the BM-C-32 block, containing the Itaipu field, enabling it to take full ownership of the field.
In addition, the firm paid almost $2 billion in total for the acquisition of Petrobras’ entire stake in Albacora Leste deepwater field off Brazil, enabling it to take over the operatorship of the field.
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