Petrobras is set to emphasise upstream oil and gas operations in its forthcoming 2025-29 strategic plan, reported Reuters, citing the company’s CFO Fernando Melgarejo.  

The Brazilian state-run oil company is crafting a strategy that aims to rebuild its oil and gas reserves without relying on significant mergers or acquisitions.  

This approach is a pivot from the previous plan and is designed to avoid increasing the company's debt or cash requirements. 

In an interview with the news agency, Melgarejo said: “We will have a more upstream-focused vision. Every drop of oil is important to the company - if economically viable, obviously.” 

The new plan, which is still under development, is expected to address the predicted reduction in Petrobras' oil and gas reserves by 2030, a prospect Melgarejo described as “uncomfortable.”  

The CFO's comments come after a broader shake-up in the company's leadership, with Brazilian President Luiz Inacio Lula da Silva appointing Magda Chambriard as the new CEO, replacing Jean Paul Prates. 

Melgarejo, who took on the CFO role in June, spoke positively about the company's recent $1bn issuance of dollar-denominated global notes.  

He interpreted the successful transaction as a sign of market confidence in Petrobras under the new leadership of Chambriard.  

The company has been exploring new oil frontiers such as the Equatorial Margin in Brazil, and pursuing natural gas projects in Colombia. 

“This (reserve) reduction from 2030 is uncomfortable for the current management. The focus is to try to replenish reserves as much as possible,” the executive said.  

“Without losing sight of the energy transition, but one cannot overshadow the other.” 

The previous strategic plan, released under Prates, projected $102bn in investments, encompassing potential acquisitions and low-carbon initiatives such as biorefining, and wind and solar power.  

However, Melgarejo clarified that the new plan would not include major acquisitions and would maintain a level of “normality," with no abrupt changes to the company's investment strategy or financial stability. 

Earlier this month, Petrobras signed 26 concession contracts for exploration blocks in the offshore Pelotas Basin.