Brazil’s gas and LNG imports will continue to fall as pre-salt gas consolidates its position within the country’s supply mix.
Brazil is preparing for two production-sharing bidding rounds later this year and more rounds in 2018 and 2019, which could further dampen the need for imports in the medium-to-long term. The two production-sharing rounds scheduled for later this year will be the country’s first of this type since 2013. Healthy participation is expected from IOCs as the rounds will feature several areas adjacent to existing pre-salt fields. This strong participation is expected despite some players not being happy with certain terms of the auctions.