Brazil’s Petrobras Expands Global Exploration with Eight Offshore Blocks in Ivory Coast

Brazil’s state-controlled oil company Petrobras has signed production-sharing contracts (PSCs) for eight ultra-deepwater exploratory blocks off the coast of Côte d'Ivoire (Ivory Coast), marking its latest and most significant move to re-establish a global footprint, particularly in Africa. The contracts, signed on Thursday, secure a major new exploration frontier for the Brazilian giant as it looks to replenish its oil and gas reserves.

The deal gives Petrobras, acting through its subsidiary Petrobras Netherlands B.V., a 90% operating interest in the eight blocks, with the remaining 10% held by the Ivorian state oil company, PETROCI Holding. The blocks are situated along the African equatorial margin, a region with geological characteristics similar to Brazil’s own prolific offshore basins, where Petrobras has built decades of expertise in deepwater drilling.

This international expansion is a core part of the new strategy championed by Chief Executive Officer Magda Chambriard, who has stressed the critical need for new reserves. Petrobras's long-term plan anticipates that production from its domestic ultra-deepwater “pre-salt” fields—the source of most of its current output—is expected to peak around 2035. As a result, the company needs to add a significant volume of new reserves to maintain its production trajectory over the coming decades.

For Petrobras, leveraging its technical advantage in complex deepwater environments is key to this diversification. The Ivory Coast agreement follows a broader effort to secure exploration acreage across the African continent, including recent acquisitions in Namibia and contracts in Ghana and São Tomé and Príncipe. This concerted push into West Africa is intended to spread exploration risk and ensure the company’s long-term sustainability beyond its domestic operations.

The immediate focus will shift to the exploratory phase of the eight new blocks. The company will now apply its geological and technical models to assess the commercial viability of the acreage in the African Atlantic margin. This initial period of seismic surveys and preparatory work will determine the timeline for any future drilling campaigns.

What it touches

The long-term performance of Petróleo Brasileiro S.A., known as Petrobras, is directly tied to its ability to replace its depleting reserves. This contract, while early-stage, signals a material step in the company's strategy to secure that long-term viability, which is a key factor for the company's publicly traded shares, including its stock on Brazil’s B3 exchange (PETR4) and its American depositary receipts (PBR).