PRIO takes on operatorship of Peregrino oil field offshore Brazil

Equinor has completed the sale to Brazilian E&P company PRIO of a 40% interest in the Peregrino Field in Brazil’s offshore Campos Basin.

PRIO, which has assumed full operatorship of the field, paid a total of $2.33 billion for the transaction and has agreed to acquire Equinor’s remaining 20% share, subject to fulfilment of certain conditions.

Equinor said the transfer was in line with its strategy of divesting more mature interests in order to re-deploy capital to assets with longer-term potential.

Brazil remains a key investment area for the company, said Veronica Coelho, senior vice president and country manager for Equinor Brazil. She added, “Equinor’s journey in Brazil continues with full momentum with Bacalhau [which started production in October], our Raia gas project, our partnership with Petrobras in Roncador, and our growing exploration and renewables portfolio.”

Peregrino came onstream in 2011 and has since produced about 300 MMbbl of oil.

PRIO said it would seek to reduce costs by implementing operational synergies.