Profit-share bidding auctions: a theoretical approach

• Ano de defesa: 2015
• Autor(a) principal: Souza, Clara Costellini de
• Orientador(a): Araújo, Aloísio Pessoa de
• Tipo de documento: Tese
• Tipo de acesso: Acesso aberto
• Idioma: eng
• Palavras-chave em Português: Leilões de valor quase comum; Leilões de partilha de produção; Pré-sal; Informação assimétrica; Conteúdo local
• Palavras-chave em Inglês: Almost common value auctions; Profit sharing auctions; Pre-salt; Asymmetric information; Local content
• Link de acesso: https://hdl.handle.net/10438/14219

In this paper, we study by means of a theoretical approach the Brazilian production sharing regime for oil exploration approved in Law No 12.351. We develop a model for production sharing to capture certain aspects of the Brazilian sharing model as compulsory participation of Petrobras, asymmetric information, and the presence of strategic participants. Using numerical solutions, we discuss the bidders’ strategies and their expected gains. Furthermore, we developed a model with heterogeneous costs to study the local content rules.