Reserve Based Lending
ANP held, on December 5, 2017, workshop “Reserve Based Lending in Brazil: opportunities and regulatory challenges”, with participation of representatives of the oil and gas, industry, suppliers, consulting firms, law firms, and financial Market. Reserve Based Lending (RBL) is one of the mechanisms usually adopted in other countries as a financing option for the production phase or for assets which production starts soon.
In 2016, ANP submitted to public consultation a resolution draft to regulate the procedures to be adopted at assignment of rights in the agreements for exploration and production of oil and gas. The proposal included other types of financing as guarantee, but not RBL. After contributions and suggestions from the market, the Agency proposed to re-evaluate the topic, as not to restrict the financing options.
The new rule aims at increasing legal protection for operations and enable higher dynamics of industry, unlocking investments. ANP shall keep its duty to analyze, previously, the requests for assignment of rights of the concession agreements, as prior condition to authorize them.
The debate conducted at the workshop will support preparation of a new ANP resolution draft for assignment of rights, with clearer rules on this topic, which shall be submitted to public consult and hearing in the future.
See below presentations conducted in the event: