Petróleo Brasileiro S.A. - Petrobras has signed with PetroRio Jaguar Petróleo Ltda., subsidiary of Petro Rio S.A. (“PetroRio”), a contract for the sale of 30% stake in the Frade concession, located in the Campos Basin, north coast of the state of Rio de Janeiro forUS$ 100 million. Currently, PetroRio holds the remaining 70% of Frade's concession through its subsidiaries.

The transaction also included the sale of the entire stake held by Petrobras Frade Inversiones S.A. (PFISA), a subsidiary of Petrobras, in the company Frade BV, which owns the offshore assets used in the development of Frade field production.

The sale price of US$ 100 million, will be paid in two installments: (i) US$ 7.5 million upon signature of the contract; and (ii) US$ 92.5 million at the close of the transaction, subject to adjustments due. In addition, there is a contingent US$ 20 million due to a potential new discovery in the field.

The transaction closing is subject to the fulfillment of precedent conditions, such as approvals by the Administrative Council for Economic Defense (CADE) and the National Agency of Petroleum, Natural Gas and Biofuels (ANP).

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