Enauta reported net revenue of R$ 657.1 million in the fourth quarter of 2022, bringing the total to almost R$ 2.2 billion for the year, 20.5% more than the amount recorded in 2021, excluding non-recurring effects from that year.
Revenue from the Atlanta field totaled R$ 1.7 billion, accounting for 80% of the company’s total revenue and an increase of 31.8% from 2021 to 2022.
The EBITDAX reached R$ 1.4 billion in 2022, an increase of 13.6% year-on-year, on a recurring basis. It was affected by the accounting of 100% of the production from the Atlanta field throughout the year and the rise in the Brent oil price. Enauta’s adjusted net profit totaled R$ 383.4 million in 2022.
1.Production in the Atlanta and Manati fields
In 2022, production from the Atlanta field totaled 3.3 million barrels of oil, with an average daily production of 9,200 barrels – an increase of 1.6% in relation to the production proportional to its share in 2021. In the Manati field, the proportional production from this field, where Enauta has a 45% stake, totaled 416.9 million m3 in 2022, with a total average daily production of 2.5 million m3.
Enauta’s CEO, Décio Oddone, believes that 2022 was a period of achievements that are important for the company’s growth.
The Atlanta field’s Definitive Production System (DS) has become a reality, with work on the FPSO Atlanta progressing within the forecast schedule and budget. The recertification of the Petrojarl I production unit was also a milestone for Enauta, allowing production to continue until the transition to the DS.
DÉCIO ODDONE – CEO OF ENAUTA
Last year, the ANP (National Agency for Petroleum, Natural Gas and Biofuels) approved the new Development Plan and extension of the concession contract for the Atlanta field until 2044. With 11 additional years of production, the reserves of this asset were recertified, at a total of 158.9 million barrels of proven and probable reserves (2P) on the base date of December 31, 2022 – an increase of more than 50% when compared to the end of 2021.
Mr. Oddone says that, “The lessons learned after four years of production under the Accelerated Production System (SPA) enabled the DS to be fine-tuned and it was sanctioned at the beginning of 2022. The extension of the SPA will enable cash generation in the short and medium term, which is one of the pillars of our strategy. The DS project has solutions that promote productivity gains and reduce the level of greenhouse gas emissions, which makes it competitive in an energy transition scenario and resilient in the face of the cyclical nature of the market”.
The progress of the Definitive Production System (DS) project led the company to invest around US$ 400 million in 2022.
2.Drilling campaign
Further in relation to the Atlanta field, in November/2022 the company began the drilling campaign for three new wells. The first of these will be connected to the FPSO Petrojarl I, increasing the SPA’s total production capacity by up to 20,000 barrels of oil per day. The executive pointed out that, “For the first time, we will have operational and equipment redundancies at this asset, which will enable greater field production stability in 2023”.
Another important step was the first issue of debentures, totaling R$ 1.4 billion, which is essential for financing the Atlanta project and optimizing Enauta’s capital structure.
Oddone concludes that, “We enter 2023 with robust fundamentals to advance our growth strategy, with the building of a diversified asset portfolio. Through this strategy of increasing and diversifying our revenue, we will gain scale and competitiveness at the operational and financial levels, thereby entering a virtuous cycle of sustainable and profitable growth for the company”.
3.Environmental, Social and Governance (ESG)
Throughout 2022, Enauta pursued energy efficiency and worked to increase the productivity, with less consumption of natural resources and generation of waste. Regarding climate change in 2022, the company advanced from a C Rating to B in the assessment of the Carbon Disclosure Project (CDP), the only independent Brazilian producer to obtain this rating.
Gross greenhouse gas emissions totaled 18.8 kg CO2e/boe in 2022, below the latest average for the sector, released by the Oil & Gas Climate Initiative (OGCI).
Enauta published its 2022 Annual and Sustainability Report, together with the release of the 2022 results, following the standards of the Global Reporting Initiative (GRI) and the Sustainability Accounting Standards Board (SASB). Since 2011, the report has been published annually, providing transparency for all audiences on how the company incorporates critical ESG factors into its business strategy.
For the seventh consecutive year, the company has been awarded a Gold Seal under the Brazilian GHG Protocol Program (PBGHG), the highest classification level under the PBGHG, which reaffirms the company’s commitment to transparency in emissions data.
In the contract for the refitting of the new FPSO for the Atlanta field, the company jointly guaranteed the implementation of an “avoided emissions” design that optimizes the operational and environmental efficiency of the unit, from its implementation, within a complete cycle. The DS project incorporates technological solutions that promote productivity gains and reduce greenhouse gases.
Always steered by the guidelines of the Sustainable Development Policy, the company selected twenty projects that have a social impact, with investments totaling R$ 13 million.
The company also increased the participation of independent members on its Supervisory Board, from 29% to 43%, with a greater diversity of experience among its members, thereby bringing benefits to enhance the performance of this collegial body.