Brazil Approves Auctions for Union Pre‑Salt Gas and Names PPSA as Seller

Overview

• The CNPE approved a resolution on July 30, 2026 that authorizes PPSA to run short‑term (2026–2030) and long‑term (from 2030) auctions to sell the União's share of pre‑salt gas directly to the market.
• The Ministry of Mines and Energy projects the change could reduce the price paid by industry from about US$12 to roughly US$5 per million BTU but describes that number as an estimate rather than a guaranteed market price.
• The ANP will begin formal work on a gas‑market 'gas release' program on August 7, 2026 and has set up a special commission to monitor PPSA–Petrobras negotiations over access and tariff terms.
• Implementation depends on negotiated third‑party access to export pipelines and onshore processing units that Petrobras largely controls, and Petrobras has previously pressed to delay or change parts of the plan.
• Government and EPE studies cited potential gains — including large investment, hundreds of thousands of jobs and higher GDP — but those outcomes and a first auction expected in late 2026 remain conditional on regulatory rules and access deals being settled.