Regulatory News
January 13
Decree 9.641 / 2018, published at the end of 2018, delegates to the ANP the responsibility of defining blocks in land basins to be tendered, under a concession regime, in the permanent offer. All land areas, including new blocks, are included as a permanent offer, and there is no longer a conventional concession auction for on land. The objective is to attract investments to mature basins, to develop the land industry by encouraging the participation of small and medium-sized enterprises, and to stimulate exploratory activities in the new frontier basins.
December 27
The Kigali agreement signed between the signatories of the Montreal Protocol during meetings in Kigali, capital of Rwanda, includes an amendment to phase out a non-ozone-depleting substance that has a high potential for global warming: Hydrofluorocarbons (HFCs), used in refrigerators and air conditioners. With the suspension of the use of these gases, the goal is to avoid an increase in global temperature by 0.5ºC by 2100 and eliminate the emission of 70 billion tons of carbon dioxide in the atmosphere.

The amendment provides for the division of nations into three groups to reduce consumption and production of HFCs, with the deadline for developed countries being shorter than for developing countries. Brazil, for example, like several developing countries, has until 2024 to freeze the production of HFCs, and by 2015 to reach the 20% reduction target of the average levels of 2020-2022.

The deadline for developed countries is much shorter: HCF production should be frozen as early as 2019, and by 2036 consumption and production should be reduced to 15% of levels from 2011 to 2013. Therefore, New Zealand has already put plans into action. The Environmental Protection Authority (EPA) is leading the implementation of rules and measures in Australia to help slow the pace of global warming. The new rules will take effect in February 2019.
December 20
The National Energy Policy Council (CNPE) authorized the ANP to hold two rounds of bidding in 2019. According to the ANP's website, one will be the 16th Round of Bids for exploration and production of oil and natural gas in the concession modality, which will offer 42 blocks in the Maritime Sedimentary Basins of Pernambuco-Paraíba, Jacuípe, Camamu-Almada, Campos and Santos, totaling 29,910 km² of area. The other will be the 6th Bid Round as production sharing, which will offer the blocks Aram, Boomerangue, Cruzeiro do Sul and Southwest Sagittarius, in the Santos Basin, and Brava North, located in the Campos Basin.

In addition, the CNPE authorized studies for the 7th and 8th Production Sharing Bids, which will occur respectively in the years 2020 and 2021.

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