Petrobras Launches Largest Natural Gas Processing Unit in Brazil

Petrobras, Brazil’s state-owned oil giant, has received authorization from the National Agency of Petroleum, Natural Gas, and Biocombustibles (ANP) to operate its largest natural gas processing unit (UPGN).

This unit is located in Itaboraí, near Rio de Janeiro. This authorization, granted on September 9, 2024, marks a significant milestone in Brazil’s energy sector.

The UPGN, part of the Integrated Route Project (PIR3), will process gas from the pre-salt layer of the Santos Basin, transported via the new Route 3 pipeline.

With a capacity to flow up to 18 million cubic meters per day and process up to 21 million cubic meters daily, this facility will substantially increase Brazil‘s domestic gas supply.

Currently in its final preparation phase, the plant is undergoing process and equipment calibration. Commercial operations are slated to begin in early October 2024.

In addition, this timeline aligns with Petrobras’ strategy to boost profitable gas supply to the Brazilian market.

The complex, renamed Boaventura Energy Complex in reference to the São Boaventura Convent, will employ over 600 professionals.

These include Petrobras employees and contractors involved in operations, maintenance, and support for the gas pipeline and processing plants.

Petrobras has ambitious plans for the complex, including:

• Two gas-fired thermoelectric plants for participation in upcoming electricity sector auctions
• Additional refining units for fuels and lubricants
• Production capacities of 12,000 barrels per day (bpd) of Group II lubricating oils, 75,000 bpd of S-10 diesel, and 20,000 bpd of aviation kerosene

Also, these units will operate in synergy with the Duque de Caxias Refinery (Reduc).

The project’s significance extends beyond Petrobras. It aligns with recent government regulations aimed at increasing domestic gas supply and reducing prices.

This development could benefit industries such as Braskem, Brazil’s largest petrochemical company. Braskem has expressed interest in expanding operations if gas becomes more affordable.

Additionally, Brazil’s natural gas production averaged about 151 million cubic meters per day in July 2024, with 83% coming from pre-salt fields.

However, transportation infrastructure limitations currently force the reinjection of about two-thirds of the produced gas into wells.

The inauguration of the Boaventura Energy Complex is expected to be attended by Brazil’s President Lula da Silva and Petrobras President Magda Chambriard. Their presence underscores the event’s national importance.

In short, this project represents a crucial step in Brazil’s journey towards energy independence and economic growth. It promises to reshape the country’s energy landscape for years to come.