Bids for PRA-1 to Include Minimum Domestic Requirements

Petrobras

Petrobras is adjusting the bidding processes for the construction of Autonomous Repumping Platform (PRA-1), so as to include requirements of the minimum domestic content. The PRA-1 will have a pumping capacity of 815 thousand barrels per day and will be installed in the Campos Basin, as part of the Oil Flow/Treatment Master Plan, which will allow for the sending of oil produced in the Marlim Sul, Marlim Leste and Roncador fields by pipeline.

The PRA-1 will be contracted by four bids: one for the jacket and stakes; another for the pumping system; a third one for the power generation module; and the last for the construction of the other modules, including installation and interconnection services of all modules at sea. The jacket bid is already in progress and is exclusively for companies installed in the Country. The others have not been opened yet.

The changes approved by Petrobras' management aim at the inclusion of the requirement of the construction to be performed in Brazil of the jacket, stakes and process modules, utilities, lodging and installation of the power generation module, contemplating the jacket and stake installation option. Besides, the engineering detailing of the power generating modules, utilities and lodging will be made in Brazil.

As for the minimum domestic content, Petrobras decided to require the index of 75% of the contractual value for the power generation module, excluding the engines, and 60% for the modules construction and assembly services, excluding the costs related to facilities and interconnections (hook-up), which will allow for the generation of 2500 direct employments in Brazil.

The Oil Flow/Treatment Master Plan in the Campos Basin has the purpose to create an alternative, by pipeline, to the ships that transport oil from the offshore platforms to the continent. The start-up of the PRA-1 is scheduled for the 2nd quarter of 2005.


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