Brazilian oil & gas player getting corporate overhaul

The board of directors of Brazilian oil and gas firm 3R Petroleum Óleo e Gás has approved the execution of the protocols and justifications for the merger of its wholly owned subsidiaries Enauta Participações and 3R Operações Offshore.

The corporate reorganization, which will be submitted for resolution at the company’s extraordinary general meeting, comes as a follow-up to 3R Petroleum’s merger of Enauta Participações’ shares and Maha Energy (Holding) Brasil, which took place on July 31, 2024. Following the 3R-Enauta merger, the new entity was renamed Brava Energia.

As stated by the oil and gas firm, the aim is to simplify Brava Group‘s corporate structure, thus reducing combined operational costs and expenses while creating value for shareholders and enhancing investment and growth opportunities.

The latest transaction will entail 3R Petroleum incorporating the net equity of Enauta Participações and 3R Operações Offshore and succeeding in all their rights and obligations. As a result of the proposed transaction, the two subsidiaries will be extinguished and 3R Petroleum will succeed them in all of its rights and obligations. 

Since the duo’s shares and quotas are fully held by the Brazilian player, new shares will not be issued nor will the company’s share capital change following the corporate reorganization. The company does not foresee any relevant risks related to the reorganization other than those related to the daily activities of the companies involved.

Total costs and expenses for going through with corporate reorganization are estimated to reach around R$380,000, or approximately $67,890, which includes the costs of appraisals, legal advice, publications, and other related expenses.

Brava Energia recently got the required approval to deploy its floating production, storage, and offloading (FPSO) Atlanta for operations in the Santos Basin and is now waiting for a green light to start production at the Atlanta oil field. The FPSO is set to replace the FPSO Petrojarl I, which has been in operation since 2018.