Brazilian state-run oil giant Petrobras is preparing to reopen a closed oil well in its offshore Roncador field, aiming to increase natural gas production, according to company Chief Executive Magda Chambriard. The move marks a significant effort to boost gas supply for Latin America’s largest economy, aligning with the Brazilian government’s goal to lower energy costs for both consumers and industries.

Located northeast of Rio de Janeiro, the Roncador well is expected to produce approximately 1.7 million cubic meters of gas per day once operational, which could happen as early as next year. The well’s reopening is part of Petrobras’ strategy to quickly bring new gas to market, responding to the increasing demand and the government’s energy priorities.

Chambriard, who assumed the CEO position earlier this year, emphasized the company’s proactive approach to scanning its assets for near-term gas opportunities. The reopening of the Roncador well exemplifies this strategy. In addition to boosting gas production, Petrobras is focusing on lowering fuel prices for consumers. The company announced a 9% reduction in jet fuel prices, effective in October, and is also evaluating reductions in motor fuel prices, though no specific timeline has been provided.

Petrobras is set to unveil its next five-year investment plan in November, outlining future projects and continued efforts to stabilize energy costs in Brazil.