Brazil’s ANP Sets Record Open Acreage Auctions for October

By Brazil Stock Guide – Brazil’s oil regulator will hold its largest Open Acreage rounds to date on Oct. 7, offering a record number of sectors under the concession model and blocks under production-sharing contracts, according to ANP.

The Special Bidding Commission published the selected areas on Thursday in notices in Brazil’s Official Gazette. The sixth Open Acreage Concession Cycle, known as OPC6, will include 22 exploration-block sectors and two sectors containing marginal accumulations. The fourth Open Acreage Production Sharing Cycle, or OPP4, will offer 13 blocks.

The auctions mark records for both programs since Brazil introduced the Open Acreage system. OPC6 has the largest number of sectors ever included in a concession cycle, while OPP4 has the most blocks assembled for a production-sharing round.

Companies Can Expand Participation

Twelve companies with active registrations have submitted declarations of interest and bid guarantees for areas included in the concession auction. Six registered companies have filed declarations for the production-sharing blocks.

Those figures don’t necessarily represent the final number of bidders that will compete on Oct. 7. Registered companies have until Aug. 31 to submit additional declarations of interest for any of the sectors or blocks already selected for the auctions.

Companies that haven’t submitted a declaration may still do so before the deadline. Those that have already expressed interest can add other areas and expand their participation.

A company that misses the Aug. 31 deadline may still enter the auction as part of a consortium with a bidder that filed a valid declaration. Every declaration must be accompanied by a bid guarantee and comply with the respective concession or production-sharing notice.

Concession Cycle Includes 22 Exploration Sectors

The exploration sectors selected for the sixth Open Acreage Concession Cycle are:

1. SC-AP1.
2. SC-AUP1.
3. SC-AUP2.
4. SC-AP3.
5. SCE-AP2.
6. SCE-AP3.
7. SES-AP2.
8. SES-AUP3.
9. SPN-SE.
10. SPN-N.
11. SPOT-T1B.
12. SPOT-T2.
13. SPOT-T3.
14. SPOT-T4.
15. SPOT-T5.
16. SREC-T1.
17. SREC-T2.
18. SREC-T3.
19. SS-AR4.
20. SS-AP4.
21. STCT.
22. STUC-S.

The concession round will also include two sectors containing marginal accumulations:

1. SPOT-T4.
2. STUC-S.

Production-Sharing Round Offers 13 Blocks

The fourth Open Acreage Production Sharing Cycle will include the following blocks:

1. Azurita.
2. Hematita.
3. Larimar.
4. Magnetita.
5. Turmalina.
6. Aragonita.
7. Cerussita.
8. Cruzeiro do Sul.
9. Granada.
10. Jade.
11. Opala.
12. Rodocrossita.
13. Rubi.

Interest Declarations Trigger Auctions

Under Brazil’s Open Acreage model, an area listed in a bidding notice is included in a public auction only after at least one qualified company submits a declaration of interest and the required bid guarantee.

The system allows eligible areas to remain available until companies formally request their inclusion in a bidding cycle. The October auctions were assembled from sectors and blocks that had received qualifying declarations by the commission’s initial deadline.

Final participation may increase before Aug. 31, when the window for additional declarations closes. The definitive field of bidders will depend on compliance with the rules established in the OPC and OPP notices.