Brazilian Pre-Salt Update Citibank Global Energy and Utilities Conference - Boston Mauro Yuji - Gerente de Planejamento do Pré-Sal

1. Brazilian Pre-Salt
Update
Mauro Yuji Hayashi
E&P-PRESAL Planning Manager
May/2014

2. Agenda
The presentation may contain forecasts about future events. Such forecasts merely reflect the
expectations of the Company's management. Such terms as "anticipate", "believe", "expect",
"forecast", "intend", "plan", "project", "seek", "should", along with similar or analogous
expressions, are used to identify such forecasts. These predictions evidently involve risks and
uncertainties, whether foreseen or not by the Company. Therefore, the future results of
operations may differ from current expectations, and readers must not base their expectations
exclusively on the information presented herein. The Company is not obliged to update the
presentation/such forecasts in light of new information or future developments.
All projects forecasted herein are subject to approval by the appropriate stakeholders.
The United States Securities and Exchange Commission permits oil and gas companies, in their filings
with the SEC, to disclose only proved reserves that a company has demonstrated by actual production
or conclusive formation tests to be economically and legally producible under existing economic and
operating conditions. We use certain terms in this presentation, such as oil and gas resources,
that the SEC’s guidelines strictly prohibit us from including in filings with the SEC.
CAUTIONARY STATEMENT FOR US INVESTORS
Disclaimer

3. Agenda
3rd Largest Oil Producer, and
5th Largest Oil&Gas Producer
Petrobras Highlights
OILANDGASPRODUCTION
(millionbarrelsperday)
OILPRODUCTION
(kbd,Thousands)

4. Agenda
20
17
15 15 14 13 13 12
10 9
0
5
10
15
20
25
Reserve/ProductionYears
721%
176% 175% 145% 126% 112% 102% 99% 79% 49%
0%
200%
400%
600%
800% Reserve Reposition Index
4th best relation Reserve/Production, and
5th best Reserve Reposition Index
Petrobras Highlights

5. Agenda
2nd Biggest Oil Reserve
Petrobras Highlights

6. Agenda
The Largest Industry CAPEX
Petrobras Highlights

7. Agenda
BMP 2014-2018
US$ 220.6 billion
38.7
(18%)
153.9
(70%)
Distribution
Biofuels
Downstream
Other Areas 1International
Gas and Energy Engineering, Technology and Materials
E&P
2.2
(1%)
1.0
(0.4%)
2.7
(1.2%)
2,3
(1.0%)
9.7
(4%)
10.1
(5%)
112,5
(73%)
18,0
(12%)
23,4
(15%)
E&P - US$ 153.9 bilhões
Production Development + Exploration
US$ 135.9 billion
53,9
(40%) 82,0
(60%)
Production
Development
Exploration
Infrastructure and
Support
Pre-Salt
Post-Salt
Petrobras Investments – 2014-2018 BMP
Pre-Salt (Concession)
Transfer of Rights
PSA (Libra)

8. AgendaBrazilian Pre-Salt

9. Brazilian Pre-Salt Province

10. Agenda
Rio de Janeiro
Curitiba
ES
MG
PR
São Paulo
RJ
100 km
Brazilian Pre-Salt Province
Curitiba
Florianopolis
Vitória
ES
MG
SC
100 km
RJ
PR
São Paulo
SP
Santos Basin
Campos Basin
BRAVA
TRACAJÁ
CARIMBÉ
NAUTILUS
BALEIA AZUL
BALEIA FRANCA
BMC-33
(100%)
CONCESSION
(CAMPOS BASIN)
PRODUCTION
SHARING
TRANSFER
OF RIGHTS
(100%)
(40%)
(20%)
(20%)
(10%)
(10%)
CONCESSION (SANTOS BASIN)
(10%) (10%) (14%)
(30%) (25%)
(65%) (25%) (10%)
(65%) (25%) (10%)
(80%) (20%)
(80%) (20%)
BMS-8 (Carcará)
BMS-9 (Sapinhoá / Lapa)
BMS-10 (Parati)
BMS-11 (Lula-Iracema/ Iara)
BMS-21 (Caramba)
BMS-24 (Júpiter)
(66%)
(45%)
(60%) (20%) (20%)BMS-50 (Sagitário)
SUL DE GUARÁ
SUL DE LULA
NE DE TUPI
ENTORNO DE IARA
FLORIM
BÚZIOS
LIBRA
CARCARÁ
IRACEMA
SAGITÁRIO
LULA
IARA
CARAMBA
LAPA
JUPITER
SAPINHOÁ

11. Agenda
Rio de Janeiro
Curitiba
Florianopolis
ES
MG
PR
SC
São Paulo
SP
RJ
100 km
Pre-Salt - Size
Campos Basin
7,000 km2
(1.7 million acres)
SP
650
US GoM Blocks
Santos Basin Pre-Salt
15,000 km2
(3.7 million acres)

12. AgendaMain Results: Excellent exploratory success
46 discoveries in 14 months
(jan/13 to feb/14):
24 offshore discoveries
14 in the Pre-Salt
Exploratory
Success in 2013
in the Pre-salt
100%
Petrobras
as operator

13. Agenda
• High resolution seismic
• Suitable geological and flow model
• New materials
• New subsea systems
• CO2 separation and reinjection
Main results: technology is no longer an issue

14. Agenda
Reduction of drilling time
From 134 to 60 days (2006/2013)
Main Results: Wells Learning Curve
55%
134 days
60 days
109 days: drilling + completion record (2013)
Pre-Salt
Province
TOTAL • 171 wells
(until Feb/14)

15. Agenda
3 8 24
72 83
165 181
8 18
47
86
136
214
0
30
60
90
120
150
180
210
240
270
300
330
360
390
420
2008 2009 2010 2011 2012 2013 2014
(March)
Daily Production Average
Santos Basin (kbpd)
Campos Basin (kbpd)
169
395
16
42
Production Record: 444 kbpd
in April 18th 2014
3
119
301
Sep/2008 Mar/2014328 million boe
Cumulative Production
16
19
9
8
Campos Basin
Gulf of Mexico
North Sea
Pre-Salt
Pre-Salt achieved
400 kbpd in 8 years
Main Results: 400+ kbpd production

16. AgendaAfter 8 years ...
34
36
36
BAZ-04 (Baleia Azul)
LL-02 (Lula Pilot)
SPS-77 (Sapinhoá Pilot)
*Lula NE Pilot on stream from jun/13 to dec/13, connected to just one
production well
9,0
14,8
Lula* Petrobras E&P
Lifting Cost 2013 (US$/boe) High Productivity Wells (kbpd at peak)
13 13 13
17
15
16
21
23
25
10
15
20
25
2012 2013 2014
Campos Basin - RJ Campos Basin - ES Santos Basin*
Average Weels Productivity (kbpd)
5
Weels
8
Weels
4
Weels
6
Weels
9
Weels
6
Weels
5
Weels
12
Weels
9
Weels
Number of contributors weels*
*Excluding EWTs, because their production are limited to gas burn restrictions.
Feb/13
Jun/12
Feb/14

17. AgendaMain Results: 11 FPSOs and 23 production wells on stream
Reference: Mar/2014
P-48
1 production well
P-53
3 production wells
FPSO Capixaba
2 production wells
FPSO Cid. Anchieta
5 production wells
FPSO Cid. Angra dos Reis
4 production wells
FPSO Cid. Paraty
2 production wells
FPSO Cid. São Paulo
2 production wells
FPSO Dynamic Producer
1 production well
FPSO Cid. Niterói
1 production wells
FPSO Cid. São Vicente
1 production well
P-58
1 production well

18. Agenda
FPSO Dynamic Producer
FPSO Cidade de São Vicente
EWTs Period Block
Lula Apr/09 - Dec/10 BM-S-11
Lula NE Apr/11 - Nov/11 BM-S-11
Iracema S Feb/12 - Oct/12 BM-S-11
Sapinhoá N Jan/13 - May/13 BM-S-9
Lula Sul Nov/13 – Apr/14 BM-S-11
EWTs Period Block
Sapinhoá Dec/10 - Jul/11 BM-S-9
Carioca NE Oct/11 - Feb/12 BM-S-9
Lula Central Oct/13 – Apr/14 BM-S-11
EWT’s
6 more to come (2014-2015)

19. Agenda
Lula Pilot
First Oil: Oct/2010
Discovery + 4 yearsFPSO Cidade de Angra dos Reis
Pilot Projects

20. Agenda
Sapinhoá Pilot
First Oil: Jan/2013
Discovery + 5 yearsFPSO Cidade de São Paulo
Pilot Projects

21. Agenda
Lula NE Pilot
1st Oil: Jun/2013
Discovery + 7 yearsFPSO Cidade de Paraty
Pilot Projects

22. AgendaMeanwhile in Campos Basin...
Baleia Azul
First Oil: Set/12
First FPSO fully dedicated to Pre-Salt in Campos Basin
Discovery + 4 yearsFPSO Cidade de Anchieta

23. AgendaOne more …
Norte Parque das Baleias
On stream since March 17th
180 kbpd oil
8 MM m3 gas
15P + 9I wellsP-58

24. Agenda
Buoyancy Supported Risers 1
Sapinhoá Pilot
2 wells producing
• 1st well (SPS-77) producing since February 18th
• 2nd well (SPH-04) producing since April 3rd
• 2 more wells to be connected in 2014
On going ...
BSR1 on location (2013)

25. Agenda
Buoyancy Supported Risers 2
Lula NE Pilot
Already installed
• 70% reduction of installation period (165 to 50 days)
• 1st well (LL-22) 1st oil May 2014
• 3 more wells to be connected in 2014
Ballasting of BSR2 (Dec/2013)
On going ...

26. Agenda
Buoyancy Supported Risers 3
Sapinhoá Pilot
Already installed
FPSO Cid. São Paulo, PLSV 7Seas and BSR 3 (Feb/2014)
• End of the first SCRs installation expected by Q2
On going ...

27. AgendaOn going ...
Buoyancy Supported Risers 4
Lula NE Pilot
End of installation expected by Q2

28. Agenda
Arriving at Brasa Yard – Dec/2013
Apr/2014
On going ...
FPSO Cidade de Ilhabela
Sail away by Jul/2014
Sapinhoá Norte (Santos Basin)
1st oil: Q3, 2014
150 kbpd oil
6 MM m³/d gas
8p + 7i wells

29. Agenda
FPSO Cidade de Mangaratiba
Sail away by Aug/2014
On going ...
Brasfels Yard – Aug/2013
Apr/2014
150 kppd oil
8 MM m³/d gas
8p + 7i wells
Iracema Sul (Santos Basin)
1st oil: Q4, 2014

30. AgendaMore to come
150 kbpd oil
8 MM m³/d gas
8p + 9i wells
Iracema Norte (Santos Basin)
1st oil: Q4, 2015
FPSO Cidade de Itaguaí

31. Agenda
150 kbpd oil
6 MM m³/d gas
10p + 8i wells
Lula Alto (Santos Basin)
1st oil: 2016
FPSO Cidade de Maricá
More to come

32. Agenda
150 kbpd oil
6 MM m³/d gas
10p + 9i wellsFPSO Cidade de Saquarema
Lula Central (Santos Basin)
1st oil: 2016
More to come

33. Agenda
8 New build FPSOs
(Replicants)
First: Lula Sul
1st oil: 2016P-66
More to come

34. Agenda
P-74
4 Converted FPSOs
First: Búzios 1
1st oil: 2016
More to come

35. AgendaThe Way Ahead
Oil Production (BMP 2014-2018)
Petrobras Share and Pre-Salt Contribution
2013 2014 2015 2016 2017 2018 2019 2020
4.2
Sapinhoá
Pilot
Lula NE Pilot
MMbpd
52%
1.93
7%
3.2
Increase in 2014:
7,5% ± 1p.p.
Lula Ext.
Sul e CO de
Sul de Lula
Lula Oeste
Búzios III
Iara Horst
Búzios IV
Iracema
Norte
Norte Pq.
Baleias
Sapinhoá
Norte
Iracema Sul
Lula Alto
Lula Central
Lula Sul
Búzios I
Lapa
Lula Norte
Búzios II
Júpiter
Búzios V
Florim
Libra
NE de Tupi
Iara NW
Sul Pq. Baleias
Carcará
Entorno de Iara

36. Agenda
Citi Research
Global Oil Vision
PBR
IRR
Break-even Brent Oil price (US$/boe)
Competitive break-even and high return
1st quartile
Market Insight

37. AgendaTeam Work
For more information:
Investor relations
www.petrobras.com.br/ri
+55 21 3224-1510
petroinvest@petrobras.com.br