Brazil's Petrobras First Quarter Oil Production Rises by 4.4%

SEATTLE (Oil Monster):  Brazilian state-run oil company Petrobras said on Monday its crude oil production during the first quarter rose 4.4% compared to the same period last year.

Petrobras pumped 2.24 million barrels per day (bpd) in the period, the firm said in a statement, crediting the increase in production to the ramp-up of five platforms and the start of production in 19 wells in the Campos and Santos basins.

The firm produced 2.78 million barrels of oil equivalent per day (boepd) from January to March, a 3.7% increase over the same period of 2023.

Of its total production, about 67% came from the firm's pre-salt fields, an oil-rich offshore region off the country's southeastern Atlantic coast. There, production increased by 9.1%, helping counter a decrease in output from other fields.

Total exports fell by 4.4% on a year-on-year basis, with 848,000 bpd of oil and derivatives exported in the period. Oil exports fell 11.3%.

When compared to the previous quarter, however, the firm noted an increase of 2.5% in oil exports, to which it credits changes in the market caused by the conflict in the Middle East.

"The conflict in the Middle East caused instability in maritime freight transport and, consequently, a change in the flows of our oil exports," said Petrobras, highlighting an increase in exports to China and other Asian countries.

Sales of oil, gas and derivatives amounted to 2.92 million boepd, a 4.6% decrease year-on-year. The decline was due in part to an increase of biofuel in the mixture of fuel sold in the country.

Petrobras is expected to post its full financial results for the first quarter on May 13.

Courtesy: www.reuters.com