Final Tender Protocol and Contract
Signed 13 concession agreements on June 30th
On the second of two dates scheduled for the execution of concession agreements of areas awarded in Brasil Round 10 (which took place on December 18, 2008), 13 out of 54 concession agreements for exploratory blocks were executed. The statements with identifying data for each one were published in the Federal Official Gazette on July 6th.
Thus, the payment of R$ 23,5 million in signature bonus was made and the concessionaires undertook to invest the equivalent amount of R$ 43,3 million in exploratory activities (PEM – Minimum Exploratory Program).
The new acreage under concession amounts to 24,6 thousand km2, of which 21,7 thousand km2 are located within the São Francisco basin which is categorized as 'New Frontier' due to the lack of exploratory investments made there. Blocks granted in 'Mature Basins' locations summed 74 km2 in this phase.
On the other hand, 14 offers made were not fulfilled because bidding companies gave up or did not comply with the Tender Protocol´s rules. The Special Commission in charge of Round 10 disqualified those offers in its Act nº 13 and provided the call for three remaining blocks.
Return of Bid Bonds
Subject to section 4.4.8 of the Tender Protocol, the bid bonds submitted to the ANP which are not associated to proposals shall be returned, together with all documentation required for its cancellation, within 15 days after the bidding, according to prior scheduling with the ANP.
The bid bonds associated with proposals associated with Agreements signed on April 30th are ready to be returned. In case bid bonds return is not requested, they shall be filed until receipt of request.
The companies that wish to retrieve the bid bonds not associated to proposals submitted in Brasil Round 10 or associated with Agreements signed on April 30th may carry out the scheduling pursuant to section 4.4.8 through electronic mail rodadas@anp.gov.br .
Signed 27 concession agreements on April 30th
On the first of two dates scheduled for the execution of concession agreements of areas awarded in Brasil Round 10 (which took place on December 18, 2008), 27 out of 54 concession agreements for exploratory blocks were executed. The statements with identifying data for each one were published in the Federal Official Gazette on May 6.
Thus, the payment of R$ 56.7 million in signature bonus was made and the concessionaires undertook to invest the equivalent amount of R$ 510.6 million in exploratory activities (PEM – Minimum Exploratory Program). 63.4% of the amount in signature bonus has already been paid and 83.6% of the PEM has been formalized.
The consortium Petrogal/Petrobras has become concessionaire of three blocks in Amazonas Basin, paying R$ 27.5 million in bonus and undertaking the equivalent to R$ 377.5 million in exploratory investments in these areas. The same consortium will also carry out activities in five blocks of Potiguar Basin, for which R$ 8.6 million in bonus were paid and an equivalent to R$ 18 million in exploratory program was undertaken.
The consortium Partex/Petrobras has assumed two blocks in Potiguar Basin, paying R$ 2.8 million in bonus and PEM of R$ 22.5 million. Finally, Petrobras has assumed 17 blocks integrally in Alagoas, Parecis, Potiguar and Recôncavo basins paying R$ 17.8 million in bonus and an equivalent amount of R$ 92.6 million in PEM.
R10´s Signature Date Extended
Published in the Official Gazette on April, 1st as well as in large circulation newspapers the ANP board decision to extend the signature date. Companies that accomplished all the requirements in due time will be allowed to sign the contracts on April, 30th, as previously stated. A second signature date was established allowing the remaining contracts to be signed on June 30th. The schedule for this second date is as follows: documents for affiliate companies: June, 1st; documents for signature: June, 15th; signature bonuses and exploratory programmes´ warranties: June, 23th.
Attention: Accordingly to the extension granted for the signature of R10´s concession agreements, the ANP decided that bidders willing to take advantage of the 30th June date must present new Bid Bonds valid untill August 30th. The final date for presenting the renovated is June 8th.
Procedures and Schedule
As stated on Section 6 of the Tender Protocol, bidders that won acreage during Round 10 must fullfill certain conditions to aptly sign the Concession Agreements which is scheduled to take place on April, 30, 2009. The venue and time will be announced on due time.
The bid bond payments will be done according to the following instructions (please note that payments will be accepted in ‘Reais’ only).
Companies wishing to qualify affiliate ones to sign the contracts should submit the documents needed no later than March, 30th. The documents listed in Section 6 of the Tender Protocol must be submitted until April, 15th, except Bid bonds receipts and warranties documentatios that may be presented until April, 23th. As soon as this can be done the better so that the signature may be concluded on April 30th.
Tender Protocol
In order to enhance the competition process, bidders will be allowed to present financial guarantees up to one hour before the aimed blocks are put into auction, according to Official Gazette publication made on Dec. 16th.
The deadline for filing qualifying documentation was extended until November, 21th, according to the warning published in the Official Gazette on November 14t, as well as in large circulation newspapers.
» R10 Tender Protocol changes vis a vis the preliminary document. ANP´s board analysis and decisions concerning the changes suggested to the Preliminary Tender Protocol.
The Final Tender Protocol contains the rules and procedures for Brasil Round 10, after corrections and improvements arisen from the public hearings process. The Concession Agreement model which regulates rights and obligations is included.
Approved during ANP´s Board meeting through Resolution nº 818, the final tender protocol, including the concession agreement model was formally made public on October, 30th. The warning was published in the Official Gazette that day, as well as in large circulation newspapers. The entire content are available in this site for download in word and pdf formats. (English version will be available soon).
The Portuguese language version of this Final Tender Protocol is the only official version. This English language version is for reference only.
Preliminary Tender Protocol
Published in the Official Gazette on Ocotober, 2nd, as well as in large newspapers, the Initial Tender Protocol contains proposed
rules and procedures for Brasil Round 10, subject to corrections and improvements that may arise from the public hearings process. The Concession
Agreement draft which regulates rights and obligations is included as an annex.
The document contains preliminary applicable
rules for exploration, evaluation, development and production
of oil and natural gas for the blocks with exploratory risk.
It also lists the 8 sectors of the seven sedimentary basins
offered in this round and details, in the indicative schedule,
the deadline for the role bidding process.
The full texts of both documents can be retrieved clicking the links below. Also, hard copies can be obtained with SPL (Av. Rio Branco, 65/18º, Rio de Janeiro), for which it is mandatory the presentation of receipts in due form (GRU). The value charged for one set of the preliminary tender protocol in paper form is R$ 28,95 and R$ 14,40 to get the concession agreement draft.
» Initial Tender Protocol (1,97 Mb)
» Concession Agreement Draft (281 KB)
