Brazil’s state-owned Petrobras has announced that its Board of Directors approved its investment plan for the next five years, Business Plan 2026–2030 (BP 2026–30). 

The investment budget was reduced by 2% to $109bn (581.2bn reais) as the state-owned oil and gas company adjusts to lower international oil prices. 

Out of the total investment, $91bn will be directed to projects under implementation, including $10bn for projects needing budget confirmation and financing analysis. 

The remaining $18bn budget is still under analysis “with a lower degree of maturity”. 

Petrobras is a significant source of cash for the Brazilian federal budget and its spending is monitored by investors and the government. 

This is the first time Petrobras has reduced its five-year budget since President Luiz Inacio Lula da Silva took office in 2023, reported Bloomberg. 

The 2026–30 business plan allocates $69.2bn for exploration and production projects within the Implementation Target Portfolio over the five years. 

From this investment, 62% is designated for pre-salt fields, 24% for post-salt fields and 10% for exploration activities. 

It also includes a 4% allocation for onshore projects, shallow-water assets, international assets, technology initiatives or decarbonisation projects. 

Petrobras plans to implement eight new production systems by 2030, with an additional ten projects considered after 2030. 

The company expects to drill 15 wells at Brazil’s Equatorial Margin, where it recently received a permit for its first well. 

It forecasts peak oil production to reach 2.7 million barrels per day (mbbl/d) in 2028 and a peak total production of 3.4 million barrels of oil equivalent and gas per day in 2028 and 2029. 

Petrobras also raised its short-term target to 2.5mbbl/d of oil for the next year from the earlier 2.4mbbl/d. 

Additionally, the company has committed to a regular dividend payout of $45–$50bn for the 2026–30 period, while maintaining its gross debt limit of $75bn.