Petrobras is placing another major bet on Brazil’s deepwater oil industry, awarding TechnipFMC a contract valued at as much as $250 million to supply flexible pipe systems for its pre-salt developments offshore.

The award puts TechnipFMC’s Brazil operations at the center of another phase of Petrobras’ offshore expansion, with the contractor set to design, engineer and manufacture flexible flowlines used in subsea production systems. TechnipFMC classified the deal as a significant contract worth between $75 million and $250 million.

For Brazil’s energy industry, the deal also highlights the growing importance of domestic engineering and manufacturing capacity as Petrobras develops some of the world’s most technically challenging oil resources. TechnipFMC said the project will draw on its Brazilian engineering, manufacturing and supply-chain operations.

Up to $250 million contract

TechnipFMC secured the award through a competitive tender and included it in its third-quarter 2026 order intake. Petrobras did not disclose which fields will receive the equipment.

The work is tied to the pre-salt, a vast offshore resource base extending across the Santos and Campos basins. Production from these fields requires subsea equipment capable of operating under extreme pressure, high temperatures and corrosive conditions in deepwater environments.

The latest contract adds to a relationship between the two companies that has already produced several major offshore awards. In 2024, TechnipFMC won separate Petrobras contracts for flexible risers and subsea production systems linked to Atapu 2, Sepia 2 and Roncador. The company has also been developing hybrid flexible pipe technology with Petrobras to tackle stress-corrosion cracking in pre-salt operations.

Brazil’s offshore supply chain

The emphasis on Brazilian operations is significant as Petrobras continues to rely on specialized contractors to support its deepwater production strategy while keeping more engineering and manufacturing activity within the country.

TechnipFMC’s work will involve its local engineering, manufacturing and supply-chain network, which the company said will support Brazil’s industrial capacity.

Founded in 1953, Petrobras is Brazil’s majority state-owned energy company and operates across exploration, production, refining and other energy activities. Its pre-salt resources have transformed the company into one of the world’s leading deepwater producers.

Petrobras estimates its pre-salt reserves extend across about 150,000 square kilometers, with reservoirs reaching depths of up to 7,000 meters — a scale that continues to drive demand for specialized offshore technology.