Brava Energia: Straight from the Call

Research evidence excerpt

J P M O R G A N

Latin America Equity Research

06 August 2026

Brava Energia

Straight from the Call

Neutral

BRAV3.SA, BRAV3 BZ

Price (05 Aug 26):R$19.45

Latam Oil, Gas & Petrochemicals

Brava just hosted its 2Q26 conference call. Overall, the discussion centered on the

execution of the integrated drilling campaign, the continued normalization of

Potiguar, the transition to Ecopetrol's control, and Brava's path toward stronger

cash generation in 2027. For more details on the reported figures, refer to Brava

Energia: 2Q26 Results: Solid Volumes and Prices, Cost Pressure Drives a Modest

Miss - Neutral. See our notes below.

Milene Clifford Carvalho AC

Offshore: Integrated drilling campaign progressing as planned, with

Papa-Terra preparations advancing ahead of first oil from PPT-52 and

PPT-53. Management highlighted that four drilling phases have already been

completed at PPT-53, with lower completion activities finalized and early

productivity indicators coming in line with expectations. The company is now

advancing the upper completion phase while simultaneously preparing the

production system to receive the new wells. As part of this effort, Brava

highlighted the planned shutdown at Papa-Terra on July 29 to execute a series

of upgrades, including processing plant improvements, gas-handling

compliance works, the restoration of the flare system, and the replacement and

redesign of key heating equipment, which management identified as one of the

asset’s main historical bottlenecks. Looking ahead, connection activities for

PPT-52 and PPT-53 are expected to begin in Aug-26, with first oil still expected

during 2H26. Following the conclusion of the Papa-Terra campaign, the

drilling rig is scheduled to move to Atlanta in Oct-26 to begin drilling ATL-9H

and ATL-10H, with well connections expected to start in 1Q27 and first oil

targeted for 2Q27.

(55-11) 4950-3888

Banco J.P. Morgan S.A.

Onshore: Potiguar production recovery continues to advance, supported

by the restoration of steam injection volumes. Management highlighted that

steam injection returned to pre-suspension levels in July, supporting the

gradual normalization of production across the cluster.…