CHICAGO Vallourec SA
subsidiary V&M do Brasil SA has secured a five-year supply
contract with Brazilian national oil company Petróleo
Brasileiro SA (Petrobras).
The agreement covered seamless
pipe, steel grades and connections used for offshore oil and
gas production, the Boulogne-Billancourt, France-based steel
tube and pipe maker said Wednesday.
The financial terms of the deal
were not disclosed.
Brazil has large reserves of oil
and natural gas in deep offshore "pre-salt" fields that are
expected to account for 30 percent of Petrobras
production by 2020, Vallourec said, noting that extracting
hydrocarbons from those reserves represents one of the biggest
investment projects in the world.
Rio de Janeiro-based Petrobras is expected to spend roughly
$236.5 billion between 2012 and 2016, including $141.8 billion
for energy exploration and production.