Abstract
Abstract Partnerships and JV are quite common in the Oil and Gas industry. In the offshore activity, in order to reduce the risks of capital intensive projects oil companies used cooperate entering into JV agreements. In addition, local content requirements and entry barriers in new markets, are some reasons to create partnerships between international and domestic companies. Brazil is not different. It is a market that has some challenges in which the cooperation with a local partner could reduce the risks for a foreign investor. In the oil companies’ side, Petrobras is the target partner for an international oil company, because of its technical reputation and successful implementation of ultra-deep operations. In other segments, Petrobras, can be the main client, sole supplier or big competitor. Petrobras is subject also to laws and regulations to hire contractors, there are local content requirements regulations, industry-specific tax, fiscal and customs regimes, among other risks and opportunities in which the cooperation with a domestic company could help to solve in a more efficient way. The author of this paper describes the advantages of the partnership for international and domestic companies which want to invest in Brazil in the several perspectives along the oil and gas supply chain.
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