KUALA LUMPUR (May 8): Petroliam Nasional Bhd (Petronas) has acquired a 40% stake each in two offshore oil and gas (O&G) fields in Brazil for a collective US$850 million (RM2.6 billion). The move marks the Malaysian national oil firm‘s maiden entry into the South American country.

In a statement today, Petronas said its subsidiary Petronas Brasil E&P Limitada, had yesterday (May 7) acquired the stakes in Blocks BM-C-39 and BM-C-40 within the Campos Basin from OGX Petroleo e Gas S.A.

"Brazil is considered to be one of the world’s top holders of hydrocarbon reserves, with about 145 billion barrels of oil reserves.

"The proposed acquisition, which is at the asset level, will mark Petronas’  first entry into the exploration and production business in the country," Petronas said.

According to the firm, the hydrocarbon fields which include the Tubarão Martelo area, are located in shallow waters  95km off the coast of Rio de Janeiro.

Petronas said the acquisition which still needs regulators' consent, is an attractive opportunity for the company to growth its business in Brazil's O&G sector.

Bank of America Merrill Lynch is the exclusive financial advisor while Mattos Filho, Veiga Filho, Marrey Jr. e Quiroga Advogados is the legal advisor to Petronas for the transaction.