Petroreconcavo SA
BOVESPA:RECV3
Petroreconcavo SA
Petrorecôncavo SA is an oil and gas operator company, which specializes in the operation, development, and revitalization of mature fields in onshore oil and gas basins. The company is headquartered in Mata De Sao Joao, Bahia. The company went IPO on 2021-05-05. The firm specializes in the operation, development and revitalization of mature fields in onshore oil and gas basins. The firm has 155.9 MMboe of 2P (working interest) gross reserves. The firm is advancing in the creation of conditions for access to essential infrastructure for the flow and processing of natural gas by contracting services in the tolling modality, which allows it to directly access the national gas market. The firm's business model is based on purchasing (or providing operating services) concessions for mature onshore fields, operating these fields, revitalizing them and extending their reserves.
Petrorecôncavo SA is an oil and gas operator company, which specializes in the operation, development, and revitalization of mature fields in onshore oil and gas basins. The company is headquartered in Mata De Sao Joao, Bahia. The company went IPO on 2021-05-05. The firm specializes in the operation, development and revitalization of mature fields in onshore oil and gas basins. The firm has 155.9 MMboe of 2P (working interest) gross reserves. The firm is advancing in the creation of conditions for access to essential infrastructure for the flow and processing of natural gas by contracting services in the tolling modality, which allows it to directly access the national gas market. The firm's business model is based on purchasing (or providing operating services) concessions for mature onshore fields, operating these fields, revitalizing them and extending their reserves.
Production & Revenue: PetroReconcavo reported lower average production and revenue for Q3 2025, with net revenue down 2% quarter-on-quarter to BRL 786 million and production down 3% QoQ to 26,400 barrels per day.
Profit Drop: Net profit for the quarter fell sharply by 49% compared to Q2, reaching BRL 122 million.
EBITDA & Margins: EBITDA was BRL 350 million, a 6% decrease quarter-on-quarter, with an EBITDA margin of 44.5%.
CapEx & Investment: Total CapEx was BRL 569 million, including BRL 260 million for a key midstream asset acquisition. The company is reducing drilling investments and expects a 15% fall in reserve development CapEx in Q4.
Cost Pressures: Lifting costs rose 5% QoQ, with per-barrel costs up 12% due to FX and production decline, but management expects cost reductions in Q4.
Strategic Moves: PetroReconcavo completed a 50% acquisition of a midstream asset and entered a partnership for a new terminal to improve logistics and pricing.
Hedging & Protection: Approximately 57% of production is hedged against oil price volatility.
Dividend Outlook: Management signaled dividend flexibility but may consider accelerated payouts in response to potential tax changes.
