Brazil’s oil and gas sector is preparing for another year of elevated exploration activity, with the National Petroleum Agency forecasting close to $900 million in upstream investment. Total exploration expenditure in 2026 is estimated at $888.3 million, reflecting continued emphasis on drilling and seismic work to support reserve replacement.
The outlook follows a rebound in exploration spending during 2025, driven primarily by Petrobras, which increased wildcat drilling efforts to stabilise its resource base. Studies released by the ANP indicate plans to drill 19 exploration wells in 2026, comprising five offshore and 14 onshore wells.
Drilling activities are expected to account for $601.9 million, or 68% of total exploration spending. Offshore operations will represent the largest share of this investment. Petrobras is scheduled to drill the Mae de Ouro wildcat in the Potiguar basin on Brazil’s northern equatorial margin, alongside additional prospects in the Campos and Santos basins.
International operators are also advancing programmes in Brazilian waters. BP has chartered the Transocean drillship Deepwater Mykonos for a 10-month campaign to appraise the Bumerangue pre-salt discovery and drill a prospect in the Tupinamba pre-salt area. The ANP also estimates that around $140 million could be allocated in 2026 for up to four drillstem tests at offshore discoveries.
Exploration budgets further include seismic acquisition and data reprocessing. Planned work covers 16,518 sq km of new 3D seismic surveys, reprocessing of 8,900 sq km of 3D data and 1,523 linear km of 2D seismic, representing a combined investment of $134.9 million. Onshore drilling expenditure is expected to remain limited, with total spending estimated at $34.5 million.
Brazil is currently producing approximately 3.6 million barrels per day of oil and 175 million cubic metres per day of natural gas. The regulator notes that continued exploration investment remains essential to maintaining production levels, as output from existing fields declines over time.
