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Petrobras Taps Halliburton & SLB for $328M Buzios Contracts

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Key Takeaways

  • PBR granted Halliburton and SLB $328M contracts for well services at the Buzios pre-salt field.
  • The deals cover intelligent hydraulic completion for up to 18 wells between 2026 and 2028.
  • Petrobras hit record 900,000 barrels per day at Buzios, with more FPSOs set to boost capacity.

Petróleo Brasileiro S.A. - Petrobras (PBR - Free Report) has awarded Halliburton Company (HAL - Free Report) and Schlumberger Limited (SLB - Free Report) well services contracts worth a combined 1.8 billion reais ($328 million) for Brazil’s Buzios pre-salt field. The two contracts are designed to meet the demand for the acquisition of intelligent hydraulic completion for up to 18 development wells between 2026 and 2028.

Strategic Win for Oilfield Service Leaders

For Halliburton and Schlumberger, these awards mark a significant foothold in Brazil’s expanding oil and gas sector. Halliburton has been growing steadily in Latin America, while Schlumberger continues to leverage its technological edge and integrated services to secure global contracts. Both firms will provide key well completion services, such as cementing, pressure pumping and well intervention, vital for deepwater operations like Buzios.

Significance of the Contracts

The contracts highlight the rising demand for well completion services in Brazil, fueled by expanding exploration and production across the country’s pre-salt fields. For Halliburton and Schlumberger, the awards are expected to lift earnings and provide timely revenue support amid volatile oil prices and the cyclical nature of oilfield services.

Driving Growth at Brazil’s Largest Oil Field

Per the latest development, Petrobras, currently sporting a Zacks Rank #1 (Strong Buy), recently achieved record production of 900,000 barrels per day at the Buzios field, one of Brazil’s most prolific oil reserves. The company currently operates six floating production, storage and offloading (“FPSO”) units at the field, with a seventh unit expected online by year-end. By the time the Halliburton and SLB contracts take effect, an additional four FPSOs are scheduled to begin production, further strengthening output.

You can see the complete list of today’s Zacks #1 Rank stocks here.

Challenges and Opportunities Ahead

While the contracts present major growth potential, executing them will not be without hurdles. Deepwater operations carry significant technical and environmental challenges and compliance with Brazil’s regulatory framework will be essential. Even so, the agreements underscore the importance of the Buzios field in meeting Brazil’s rising production goals and highlight the role of leading service companies in unlocking its full potential.


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