Local content and supply chain Jos Magela Bernardes Technical General Manager
Local content and supply chain Key messages 30% local content requirement for BM-S-9 and 11 achievable* Expect third of total capex to be in Brazilian Reais** Local supplier capacity in place and growing Petrobras is best placed…
Local content and supply chain Lower local content in earlier rounds Average local content bids in license rounds 100% 89% 86% 86% 84% 79% 81% 80% 79% 80% 74% 77% 73% 69% 60% 54% 48% 42% 40% 39% 40% 28% 25% 27%…
Local content and supply chain Local content provisions ANP licensing round 2 BM-S-9 and BM-S-11 blocks Exploration phase Development phase 35% 30% 5
Local content and supply chain Brazil industrial capability 2nd largest industrial sector in the Americas, after US Manufacturing industry represented 14% of GDP in 2010 Diverse industrial range Aircraft, automotive, mining, steel,…
Local content and supply chain Supply companies operating in Brazil Suppliers arrived with the beginning of oil exploration in 1940s &1950s Increased establishment of suppliers with start of offshore production Local companies have…
Local content and supply chain BNDES Brazilian Development Bank Important tool to implement Brazils industrial plan Expects to finance 290 billion up to 2014 BNDES P&G (O&G programme) 2.1 billion to finance supply chain…
Local content and supply chain Rolls Royce Investments in maritime, O&G, aviation and nuclear energy sectors Aims to double revenues to 1.5 billion in 2020 Brazil is a key market to achieve this objective Its technology is present…
Local content and supply chain Wellstream Supplied Petrobras since 1990 Niteri flexible pipeline factory opened in 2007 - 46 million investment Increased demand lead to facility expansion to 270 km/year in 2009 GE acquired…
Local content and supply chain Aker Solutions Established in Brazil since 1978 1 400 employees in Rio de Janeiro, Rio das Ostras and Curitiba Engineering, construction, manufacturing, maintenance for drilling equipment and subsea…
Local content and supply chain BrasFELS Shipyard Part of the Singaporean Keppel FELS Group Shipyard active since 1957 Located in Angra dos Reis Caters primarily to naval industry and offshore oil and gas activities Built…
Local content and supply chain Technip Started operations in Brazil in 1976 c.3 500 employees, offices in Rio de Janeiro, Maca, Angra dos Reis & Vitria Services and technological solutions for deepwater development fields,…
Local content and supply chain Production units Gross FPSO production capacity (000s boed) No of FPSOs 2500 13 2000 1500 Lula/Cernambi/Iara/Carioca 8 FPSOs 1000 5 Cernambi -1 500 Sapinho - 2 3 Sapinho - 1 Lula - 2…
Local content and supply chain FPSOs 6-13 exceeding LC requirement LC requirement for BM-S-9 & 11*: 30% Dedicated 8 FPSOs for BM-S-9 & 11 Over 40% contracted Costs in-line with international benchmarks Fully contracted in 2012…
Local content and supply chain Petrobras local content experience 80% 70% 60% 50% 40% 30% Local content (target) Local content (actual) 20% 10% 0% 2003 2004 2005 2006 2007 2008 2009 2010 2011 Source: Petrobras Business Plan…
Local content and supply chain Skilled labour creation Mines and Energy Ministry launched Prominp in 2003 Since creation, local content ratio increased from 57% to 75% 875 000 new job positions created 14 billion in additional…
Local content and supply chain Local supplier initiatives BG Brasil participation in industry initiatives CADFOR system sponsored by major oil companies operating in Brazil providing information about approved Brazilian suppliers…
Local content and supply chain BG Global Technology Centre Technology head-office to be based in Rio Technology Park, opening 2013 Other O&G companies have research centres in Brazil (GE, Halliburton, Schlumberger, Technip, Baker…
Local content and supply chain Key messages 30% local content requirement for BM-S-9 and 11 achievable* Expect third of total capex to be in Brazilian Reais** Local supplier capacity in place and growing Petrobras is best placed…