LatAm Oil & Gas: LightHouse: PBR, VIST, Fuel Dist., Global (3x)

Research evidence excerpt

LatAm Oil & Gas: LightHouse: PBR, VIST, Fuel Dist., Global (3x)

estimate mainly on deferred taxes.

Operating cash flow was US$985mn, beating our US$796mn estimate following a US

$274mn WK release and US$53mn in income tax payments. Capex broadly matched

our figure at US$467mn, out of which US$421mn invested in D&C and workover

activities, which included 27 net tie-ins during the quarter (US$15.6mn/well).

Apart from that, the company also had a US$392mn disbursement related to

Equinor M&A. Despite that, FCF (post-M&A) in positive at US$99mn, also beating

our slightly negative figures. From a recurring standpoint, FCF (ex-M&A) was US

$491mn (vs UBSe US$327mn), or US$217mn when excluding WK movements (vs UBSe

US $124mn).

FigureSource:Company,2: VISTUBS2Q26estimates,compConsensussheetVIST provided by Visible Alpha

FUEL DISTRIBUTION

Fuel Distribution: Industry groups push for greater RenovaBio

transparency

Folha reported that the Legal Fuel Institute (ICL) is urging the ANP to resume and

maintain disclosure of fuel distributors that fail to comply with their RenovaBio

decarbonization targets. The request comes after the TCU suspended penalties for

non-compliant distributors in May, amid discussions over governance and

enforcement of the program. According to the ICL, 33 distributors failed to meet

their 2025 targets, while 122 complied, collectively mobilizing around R$801mn in

carbon credit purchases (CBIOs). Industry representatives argue that greater

transparency is essential to preserve a level playing field, strengthen market

oversight, and maintain the credibility of Brazil’s flagship biofuels decarbonization

program.

We see this initiative as a positive step toward strengthening oversight of the

RenovaBio framework and preserving fair competition across Brazil’s fuel