Brazil’s national oil company (NOC) Petrobras is pursuing a return to Nigeria's oil sector, targeting frontier deep-water acreage as the two countries prepare for their strategic dialogue in June, according to Nigerian officials quoted in a report by This Day.

The move comes as Nigerian President Bola Tinubu's economic reforms gain traction and represents a significant shift for Petrobras, which previously wound down operations at Nigeria's Agbami Field but now seeks re-engagement with African oil markets.

"Petrobras is no longer active in Nigeria, but they are very keen on coming back to Nigeria. They said they want frontier acreage in deep waters," Foreign Affairs Minister Ambassador Yusuf Tuggar told the interministerial review meeting chaired by Vice-President Kashim Shettima.

The discussions formed part of preparations for the second session of the Nigeria-Brazil Strategic Dialogue Mechanism (SDM) scheduled for June 2025, where Petrobras is expected to be part of the Brazilian delegation exploring energy cooperation.

Beyond oil exploration, the NOC is discussing ethanol blending opportunities with Nigeria's National Petroleum Corporation Ltd (NNPCL), highlighting Brazil's expertise in biofuels that could support Nigeria's energy transition goals.

Vice-President Shettima emphasised the strategic importance of 2025 for Nigeria-Brazil relations, noting: "Brazil is hosting so many global events this year, from the BRICS Summit to the G20 Summit and COP30. This convergence of events provides us with a unique opportunity to advance our interests on the global stage."

Nigeria's preparation for the dialogue extends beyond energy cooperation. Officials reported finalising at least 12 memoranda of understanding (MoU) covering energy, health, culture, and agriculture.

Agriculture Minister Senator Abubakar Kyari outlined completed agreements on soybean value chain development, cassava research, and agro-forestry systems.

Health Minister Muhammad Pate highlighted Brazil's universal health coverage achievements as a model for Nigeria, noting potential collaboration in pharmaceutical research, local drug manufacturing, and tropical disease research.

In related news, an executive at Petrobras said the NOC is not expected to reduce investments according to its upcoming 2026-2030 strategic plan, despite recent comments from peers indicating the company could revise the plan due to lower Brent crude prices, Reuters reported.

However, Petrobras’ heavyweight Sylvia dos Anjos, head of exploration and production, said there are no plans to cut investments just one day after other executives at the NOC indicated otherwise as crude Brent prices stand lower than expected.

They made their remarks in a call with reporters and analysts.

The apparent contradiction highlights ongoing internal discussions at Brazil's largest oil producer as it prepares to unveil its new five-year investment strategy later this year.

Petrobas's stance on maintaining investment levels suggests confidence in its operational outlook, even as global oil markets remain volatile.