Brazil’s pre-salt fields to be opened to foreign investment

Brazil’s Congress voted in early October to open its pre-salt oil fields to foreign investors by scrapping Petrobras’ obligation to be the area’s sole operator.

The legislation was approved by a 292-to-101 vote, following a heated debate, during which opponents, many dressed in the orange jumpsuits of the state-owned company, repeatedly attempted to delay proceedings.Various amendments to the legislation are due to be debated before President Michel Temer signs it into law, reports Bloomberg. Legislation to open up the area to foreign investors began under former President Dilma Rousseff, but many within her left-wing Workers’ Party were deeply hostile to the idea.

The new vote, backed by the Petrobras leadership, marks the most investor-friendly change in regulation since the 1997 oil law that ended the state company’s monopoly in Brazil.