Exclusive: Petrobras aims to make Africa its main exploratory region outside Brazil, CEO says

CEO Highlights Africa’s Strategic Role in Petrobras’ Expansion

RIO DE JANEIRO — Petrobras, Brazil’s state-controlled oil giant, is planning to make Africa its main exploratory region outside of Brazil, CEO Magda Chambriard said in an exclusive interview with Reuters. The company aims to deepen its international presence by leveraging geological similarities between Brazil and parts of Africa, particularly on the continent’s west coast.

“Africa is where we see the strongest correlation with Brazil’s eastern margin,” said Chambriard. “The correlation between Brazil and Africa is unequivocal, so we need to go to Africa.”

Ivory Coast Leads the Way with Preferential Access

Petrobras received a warm welcome from Ivory Coast, which granted the company preferential rights to acquire nine offshore exploratory blocks in deep and ultra-deep waters. According to Chambriard, this “red carpet” treatment marks a significant entry point for the company in West Africa.

Other African nations — including Nigeria, Angola, and Namibia — have also shown strong interest in collaborating with Petrobras.

Return to Africa After Years of Divestment

This renewed international push represents a shift in Petrobras’ strategy. In recent years, the company divested its African assets under earlier administrations to concentrate on Brazil’s highly productive pre-salt reserves. The current leadership, however, is moving to reverse that course.

Under Chambriard, Petrobras is actively pursuing overseas exploration opportunities to diversify its oil reserves and production portfolio, especially amid domestic regulatory and environmental constraints.

Exploration Plans Extend to India

In addition to Africa, Petrobras is targeting India’s coast for potential oil development. Chambriard confirmed the company’s participation in an upcoming oil block auction in India scheduled for July. This move aligns with Petrobras’ broader strategy of global diversification in resource acquisition.

Balancing Domestic and International Objectives

The decision to expand internationally comes at a critical time for Petrobras. President Luiz Inácio Lula da Silva’s government wants to utilize the company’s resources to drive economic development, even as investors demand continued profitability and the world pushes for reduced fossil fuel use.

Petrobras’ efforts to drill in Brazil’s Amazon region have been delayed due to environmental permitting issues. The controversial Foz do Amazonas project has faced scrutiny, especially as Brazil prepares to host the COP30 climate summit. Despite this, Chambriard remains optimistic about gaining approval by the second half of July.

African Operations Already Underway

Petrobras’ strategic pivot to Africa is not just in the planning stages. The company acquired a stake in an offshore field in South Africa in 2023 and expanded its footprint to Sao Tome and Principe in early 2024, where it expects to drill a new well this year.

Despite these successes, Petrobras has faced setbacks. It recently lost a bid to France’s TotalEnergies for a stake in Galp Energia’s Mopane field in Namibia. Still, Chambriard remains hopeful that Petrobras will be invited to participate in the field’s future development.

“We hope to be invited,” she said, though she offered no further details.

Cost Efficiency and Strategic Planning

With Brent crude prices falling, Petrobras is taking steps to cut expenses and streamline operations. Chambriard said the company’s 2026–2030 strategic plan will prioritize cost efficiency and project simplification in response to the global oil market’s changing dynamics.

Seeking Greater Control in Braskem

Chambriard also addressed Petrobras’ stake in Brazilian petrochemical company Braskem. Although Petrobras holds a 47% voting share, it currently has limited influence over the company’s direction. The oil firm has four of Braskem’s 11 board seats and only one executive out of seven — a structure it finds inadequate.

Petrobras is pushing for a revision of the shareholder agreement to enhance its decision-making power within Braskem. While Chambriard emphasized that Petrobras is not seeking majority control, she said more influence is needed to ensure better “synergies.”

“Braskem is a very important asset,” she said. “But from our current point of view, Braskem’s management is not what we want.”