Brazilian oil company Petrobras has signed a memorandum of understanding (MoU) with China National Petroleum (CNPC) to form a strategic partnership aimed at exploring oil and gas opportunities in Brazil and abroad.
The MoU was signed in Beijing by Petrobras CEO Pedro Parente, and CNPC vice-president and PetroChina CEO Wang Dongjin.
Under the agreement, the companies seek to invest in key areas of mutual interest, utilising their expertise in all segments of the oil and gas supply chain, including potential financing structuring.
Petrobras noted that signing partnerships played a significant part in achieving its 2017-2021 business and management plan.
The company's view is that strategic partnerships can enable risk sharing, increasing both investment capacity in the oil and gas supply chain and technological exchanges, as well as the enhancement of corporate governance.
As far as CNPC is concerned, the collaboration bolsters its plan to upscale operations in Brazil by investing and increasing its activities in the country.
Since 2013, the energy companies are partners with regards to an exploration programme in the country’s Libra area, located in the Santos Basin pre-salt layer.
CNPC individually signed agreements with Russian oil and gas companies Rosneft and Gazprom.
Under the agreement with Rosneft, CNPC agreed to jointly promote upstream cooperation in Russia and third countries, in addition to stepping up the establishment of their joint venture refinery in Tianjin.
In connection with the deal with Gazprom, the company signed a supplementary agreement to the sales and purchase agreement, which was initially signed in 2014, to enable the supply of Russian gas through the eastern route.
Image: The headquarters of China National Petroleum Corporation and PetroChina, outside of Dongzhimen, Beijing. Photo: courtesy of Charlie fong/Wikipedia.