3rd cycle of the permanent offering under the production sharing agreement marks advancement of the Pre-salt and entry of new players into the sector

On October 22, 2025, the National Agency for Petroleum, Natural Gas and Biofuels (ANP) held the public session of the 3rd Cycle of the Permanent Offer of Production Sharing (OPP), the “3rd Cycle of the OPP”, as per Law No. 12,351/2010. 

The 3rd Cycle of the OPP stood out as one of the most relevant in recent years, both for the diversity of participants, and for the expansion of the areas offered, and yielded strong results in terms of competitiveness and revenue generation. 

This OPP edition was marked as the broadest range of participants since the production sharing regime’s enactment, reflecting improvements on the bidding rules and the growing attractiveness of the production sharing regime, which, for the first time, included independent companies alongside major oil companies. 

Seven blocks located in two basins within the Pre-Salt Polygon were auctioned: (i) Esmeralda and Ametista in the Santos Basin; and (ii) Citrino, Itaimbezinho, Onix, Larimar, and Jaspe in the Campos Basin. 

The execution of the production sharing contracts is expected by May 29, 2026. 

Results: Revenue Generation 

• Out of the seven blocks offered, five were acquired, all with a premium on the Union’s oil profit share, with an average of 91.20% 

• The highest premium was observed in the Citrino block of 251.63%, while Jaspe recorded the highest Union oil profit share, at 32.85%. 

• The signature bonuses for the five blocks total R$ 103,728,181.09; 

• The investments in the contracts’ exploration phase are estimated at R$ 451,498,600.00. 

Results: Winning companies and consortia of the 3rd Cycle of the OPP 

The table below summarizes the winning companies and consortia: 

Basin	Block	Winning Company/Consortium
Santos	Esmeralda	Karoon Brasil (100%)
Santos	Ametista	CNOOC Petroleum (70% – Operator) and Sinopec (30%)
Campos	Citrino	Petrobras (100%)
Campos	Itaimbezinho	Equinor Brasil (100%)
Campos	Jaspe	Petrobras (60% – Operator) and Equinor Brasil (40%)

 

With the wins, Karoon and Sinopec start operating under the production sharing regime. 

Institutional Analysis and Key Highlights 

During the session, ANP Director-General Artur Watt highlighted the positive impacts of the cycle, underscoring job creation, tax contributions, and the strategic importance of the production-sharing regime in expanding Brazil’s exploration frontier.  

He also noted the entry of new operators, such as Karoon and Sinopec, broadening competition and market diversity. 

ANP Director Symone Araújo, rapporteur for the 3rd Cycle of the OPP, emphasized the symbolism of holding the auction at ANP headquarters, underscoring the institutional importance of the event and its outcomes, and Araújo also emphasized the plural and competitive nature of the 3rd Cycle of the OPP, which she described as a milestone in consolidating the production-sharing regime as an effective instrument of national energy policy. 

Outlook for Future Cycles 

The 3rd Cycle of the OPP reinforces Brazil’s role as one of the world’s leading frontiers for deepwater and ultra-deepwater oil exploration. 

For the next cycle, there is expectation for the inclusion of new blocks, pending joint approval by the Ministry of Mines and Energy (MME) and the Ministry of the Environment (MMA). These include Rubi, Granado, Mogno, Malaquita, Rodocrosita, Cerosita, Aragonita, Calcedônia, Quartzo, Opala, Siderita, Limonita, Magnetita, Hematita, Calcita, Azurita, and Dolomita. 

These areas will be added to the Onix and Larimar blocks, not awarded in this cycle, and are expected to comprise the 4th Cycle of the Permanent Offer of Production Sharing, further expanding Brazil’s pre-salt exploration potential. 

Conclusion 

With record participation, new entrants, and strong competition, the 3rd Cycle of the OPP represents a milestone in regulatory maturity and the growing attractiveness of Brazil’s oil and gas sector. 

The award of five out of the seven blocks offered, as well as the other economic results, reinforce confidence in the production sharing regime, the technical capacity of the operators, and the regulatory predictability guaranteed by the ANP, solidifying the pre-salt as a strategic vector of the Brazil’s energy development. 

Our Energy and Natural Resources team remains available to provide further clarification on this matter.