Azevedo & Travassos Grows Its Gas Business in Brazil’s Northeast

Azevedo & Travassos, a Brazilian engineering and energy company, is making a bigger move into natural gas. The company recently bought Phoenix Óleo e Gás, which gave it control of several oil and gas fields in Rio Grande do Norte, a state in Brazil’s northeast.

These fields, called Periquito and its neighbors, hold about 2.73 million barrels of oil and nearly 200 million cubic meters of natural gas, according to company data. Most of these fields have not been fully developed, so there is room for more production in the future.

Azevedo & Travassos built new gas processing facilities at the Periquito field. These facilities can handle up to 20,000 cubic meters of gas each day. The company plans to increase this amount as it drills more wells.

It expects to start commercial production soon, with an initial daily output of 10,000 cubic meters, and aims to reach 55,000 cubic meters per day after drilling three new wells in 2025.

The company also partnered with Petro-Victory Energy to buy 13 more oil fields in the same region for $15 million. These fields produced about 250 barrels of oil per day last year.

Azevedo & Travassos Expands in Oil and Gas

The new owners hope to raise production to 1,000 barrels per day by using better extraction methods. The deal includes a payment plan and a 7% royalty, and it is waiting for regulatory approval.

To support these plans, Azevedo & Travassos secured a contract to maintain oil platforms for Petrobras, Brazil’s state oil company. This contract is worth R$298 million and covers work in the Campos Basin, another important oil region.

By focusing on local fields that have not reached their full potential, Azevedo & Travassos wants to increase Brazil’s natural gas supply and support local industries.

These moves help the company grow its business and create new sources of income, while also helping the region rely less on imported energy.

This article was produced by The Rio Times’ automated newsroom system. How we use AI · Report an error

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