ANNOUNCEMENT 05 May 2014In May 2014, the government of Brazil announced a change in the required local inputs to serve domestic customers.
NUMBER OF INTERVENTIONS
OEdigital. (2014). OTC14: Brazil's PPSA CEO promises local content 'flexibility'. Available at http://www.oedigital.com/component/k2/item/5569-otc14-brazil-s-ppsa-ceo-promises-local-content-flexibility
Boavista-Executive. (2014). New local content rules for the Brazilian offshore oil exploration sector and the challenges for the next decades in the ultra-deepwater pre-salt layers. Available at http://www.boavista-executive.com/new_rules_2014.pdf
On 5 May 2014, Oswaldo Pedrosa, CEO of the state-owned company representing Brazilian interests in the exploration of pre-salt oil fields Pré-Sal Petróleo S.A. (PPSA), stated that some of the local content requirements will be reduced in order to enable the fast exploration of its pre-salt oil deposits. This will mostly concern high-tech equipment needed for early exploration.
The general local-content requirements will not be changed and consist of:
37% during exploration
55% during development until 2021
59% after 2021