New local content rules should already be valid for the 14th Round of Oil Bids

The 14th Round of Exploratory Blocks Awards and the 3rd Round of Production Sharing, planned to take place this year are already contemplating a new set of local content rules. At least that's what the government has proposed to the National Energy Policy Council (CNPE).

In a resolution published in the Official Gazette (DOU), in the edition of Friday, April 7, it was proposed that it be adopted in these auctions "local content commitments in specific contractual terms without adoption as tax criteria offers in the bidding. "

In onshore blocks will be set minimum global mandatory local content of 50% percentage for the exploration phase and 50% for development stage, to block the sea, minimum of 18% for the exploitation phase, 25% well construction; 40% for the Collection System and flow; and 25% for the stationary production unit.

The Steering Committee of the Incentive Program for the Competitiveness of the Productive Chain, Development and Supplier Enhancement Oil Industry and Natural Gas (Pedefor), who proposed the rules recommended to the National Petroleum, Natural Gas and Biofuels (ANP) that fines are applied to companies that do not meet the percentage.

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