<article><p class="lead">Brazil's state-controlled Petrobras and Norway's Statoil agreed to a partnership that includes joint upstream bidding, the revival of mature offshore fields and natural gas projects. </p><p>The new non-binding memorandum of understanding follows Statoil's agreement to pay around $2.5bn for Petrobras' 66pc operating stake in the BM-S-8 exploration block in the prolific Santos basin. The companies had first announced plans for a partnership at the same time. </p><p>Brazil is expected to launch a sub-salt licensing round in 2017 covering interconnected reservoirs in BM-S-8 and three other Santos basin blocks. </p><p>The new cooperation agreement, covering an initial two-year period, would improve gas infrastructure and monetization in Brazil through "possible joint investments in transportation and processing and the possible attraction of new partners," Petrobras said. </p><p>Brazil has launched a new program, Gas for Growth, aimed at attracting private-sector companies to the gas sector in anticipation of Petrobras reducing its dominant role. </p><p>Petrobras and Statoil are already partnered in 13 upstream projects, 10 in Brazil and three abroad. </p><p>Statoil currently produces around 77,280 b/d of heavy crude from the Peregrino field in the Campos basin, where it holds a 60pc operating stake. The company is now working on a new development phase that would add an additional 60,000 b/d. </p><p>Petrobras chief executive Pedro Parent says the company is interested in amplifying partnerships with other upstream partners, such as Shell. </p><p>Speaking at a conference yesterday in Norway, Parente said divestments will be expanded in the coming years as Petrobras looks to halve its almost $130bn debt load by 2020. The company should release its new five-year plan, covering 2016-2020, by the end of September.</p></article>
