Company: PBR
Filing Date: 2025-04-03
Form Type: 20-F
Source: 0001292814-25-001352
Chunk: 16

Company: PETROBRAS - PETROLEO BRASILEIRO SA
Filing Date: 2025-04-03
Form: 20-F
Item: Item 17
Chunk 16
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 our revenues.

Annual Report and Form 20-F 2024 |

1.q) As a result of acquisitions, divestments and partnerships, we are exposed to risks that could lead to financial losses. 
 Upon completion of each acquisition, divestment or partnership (post-closing stage), we must perform management and monitoring of the actions required and provided under the contracts related to each project, taking into account the rights and compliance with the obligations established in the documents that formalize these transactions. Failure to comply with such contractual obligations or non-exercise of rights may result in financial losses.
 Furthermore, as determined by ANP, in case of the total or partial sale of our participation in E&P contracts, we remain jointly liable for abandonment costs after the new concessionaire’s production ends, should it default on this task. Such joint liability covers obligations arising prior to or after the transfer, provided that it arises from activities carried out on a date prior to the transfer. The same applies to environmental liabilities, regardless of the segment of which the divested asset is part. According to environmental legislation, liability for environmental damage is the responsibility of all those who directly or indirectly contributed to its realization, and the adjustments made between the buyer and seller parties do not release those parties of their liability.
 Additionally, the sale of assets may negatively impact existing synergies and logistical integration within our company, which may adversely affect our results.
 Our current or future partners may not be able to meet their obligations, including financial ones, which may jeopardize the viability of some of the projects in which we participate. Depending on the corporate structure model that rules the partnership, our partners may have the right to veto certain decisions, which may also affect the viability of some projects.
 Regardless of the partner responsible for the operations of each E&P project, we may be exposed to risks associated with those operations, including litigation (where joint liability could apply) and the risks of government sanctions arising from such partnerships, which could have a material adverse effect on our operations, reputation, cash flow and financial condition.
 Regarding acquisition and partnership processes, the target asset may not perform as expected during the time of acquisition or partnership formation. This inherent risk can be attributed to a variety of factors, including market price volatility, regulatory and economic changes, as well as the cultural and operational integration between the organizations involved.
 1.r) We are subject to the risk that internal control over financial reporting may become inadequate due to changes in the control environment, or that the degree of compliance with our policies and procedures may deteriorate