Equinor sells Peregrino field stake to PRIO unit for $3.5B

Equinor (EQNR) Brasil Energia Ltda., a subsidiary of Equinor ASA, has entered into agreements with Brazilian company Prio Tigris Ltda., a subsidiary of PRIO SA for a sale of its 60% operated interest in the Peregrino field in Brazil. PRIO, Brazil’s largest independent oil and gas company, will pay a consideration of $3.35B and a maximum of $150M interest to Equinor for the transaction. The final cash payment will reflect the closing date and any deductions generated by the asset since the effective date, which is 1 January 2024. Equinor will be responsible for operations of the field until closing of the transaction, after which PRIO will take over operatorship. “With this transaction we realise value from a long-standing asset in our Brazil portfolio. Brazil will continue to be a core country for Equinor, as we focus on starting up the Bacalhau field and continue progressing the Raia gas project. With these two operated projects and our partnership in Roncador our equity production in Brazil will be close to 200,000 barrels per day by 2030,” says Philippe Mathieu, Executive Vice President for Exploration and Production International at Equinor.