Petro-Victory cède des actifs brésiliens à ATE pour 10,25 % du capital

Petro-Victory Energy Corp. (TSXV: VRY) entered into a definitive association agreement on March 26, 2026 with Azevedo & Travassos Energia S.A. (ATE) (B3: AZTE3), a publicly listed Brazilian oil and gas company. Under the agreement, the Canadian company will contribute certain assets located in the Potiguar Basin to a newly formed subsidiary, which will then be incorporated into ATE's structure. The total implied value of the transaction is estimated at approximately $5.6 million, according to the company's disclosures. In a sector where major oil companies are reassessing their Latin American commitments, independent producers are seeking to optimize their portfolio composition.

Assets Contributed to ATE

The transaction covers three categories of assets held by Petro-Victory in the Potiguar Basin. The company transfers the Andorinha field concession along with a portfolio of six exploration blocks: POT-T-566, POT-T-304, POT-T-327, POT-T-352, POT-T-436, and POT-T-474. It also contributes its option to acquire a 50% interest in oil and gas assets subject to a separate acquisition process involving Brava Energia S.A., initially announced on February 10, 2025. These three sets of assets will be contributed to a newly created subsidiary before integration into ATE.

Transaction Terms and Timeline

In exchange for these contributions, Petro-Victory will receive newly issued ordinary shares of ATE representing 10.25% of ATE's basic issued and outstanding share capital following issuance at the initial closing. These shares will be free of any encumbrance and freely tradeable at initial closing. The transaction will proceed in multiple phases: shares are issued at the initial closing, while asset transfers occur progressively as regulatory approvals are received. Required approvals include those from Brazil's National Agency of Petroleum, Natural Gas and Biofuels (ANP) and, if applicable, the TSX Venture Exchange in Canada. Completion is targeted for the second quarter of 2026, subject to receipt of all required approvals.

Assets Retained by Petro-Victory

Following the transaction, Petro-Victory retains a 100% interest in the São João field in partnership with Eneva, as well as its position in Capixaba Energia alongside BlueOak Investments. The company also holds 100% of the Alto Alegre and Trapiá production fields, along with 28 exploration blocks in the Potiguar Basin. The company notes there is no assurance that all required approvals will be obtained or that the transaction will be completed on the anticipated timeline. Against a backdrop of volatile U.S. commercial crude oil inventories, valuations for oil assets remain sensitive to global market conditions.