#Canada #Calgary #Petro-Victory #Brava Energia #Potiguar Basin

Petro-Victory Energy's Strategic Move in Brazil

Petro-Victory Energy Corp., a significant player in the oil and gas sector, has announced a groundbreaking exclusivity agreement with Brava Energia S.A. This agreement aims for the acquisition of 13 oil-producing fields located within the Potiguar Basin of Rio Grande do Norte, Brazil. The deal signifies Petro-Victory's intent to enhance its operational footprint in Brazil's rich hydrocarbon landscape.

Understanding the Agreement

On December 17, 2024, Petro-Victory and its partner, Azevedo e Travassos Petróleo S.A. (ATP), officially inked the agreement that grants them exclusive rights to negotiate the acquisition of two main asset clusters: the Porto Carão Cluster and the Barrinha Cluster.

Details of the Port Carão and Barrinha Clusters

1. Porto Carão Cluster
- Location: Near Guamaré, in the Potiguar onshore basin.
- Composition: This cluster consists of 4 concession contracts that collectively cover 4 oil-producing fields.

2. Barrinha Cluster
- Location: In proximity to Mossoró, also situated within the Potiguar onshore basin.
- Composition: This includes 7 concession contracts, covering 9 oil-producing fields.

The exclusivity period for this agreement is set for 30 days from the signing date, with the potential for a single extension if both parties agree.

Strategic Implications

This move is not just about securing assets; it reflects Petro-Victory's commitment to increase shareholder value by focusing on high-impact, low-risk opportunities in the energy sector.

As negotiations progress, the company has promised to disclose more information related to financial aspects, including values and payment methods, underscoring a transparent approach in their dealings.

About Petro-Victory Energy Corp.

Petro-Victory Energy is engaged in the acquisition, development, and production of crude oil and natural gas resources throughout Brazil. Currently, the company holds 100% operating and working interests across 38 licenses, spanning 257,604 acres, across two productive basins.

The company is publicly traded under the ticker symbol VRY on the TSXV, reflecting its strong market presence and growth potential.

Conclusion

With the acquisition of these oil-producing fields, Petro-Victory Energy is taking significant strides in its strategic goals within the Brazilian market. The exclusivity agreement heralds a new chapter in the company's expansion efforts, promising exciting developments for stakeholders and contributing positively to Brazil's energy landscape. The market will be watching closely as negotiations unfold and further details emerge.

Cautionary Note

Investors should remain aware that this agreement does not guarantee that a definitive agreement will be concluded, and that actual results may vary significantly from those anticipated in forward-looking statements.

As such, while the prospects appear promising, stakeholders are advised to consider the inherent risks associated with the oil and gas industry and the ongoing evaluation of opportunities by Petro-Victory Energy.