Our focus and management

Our approach to climate change is based on three pillars:

>> Information on adaptation, resilience and climate transition and GHG emissions can be found in our Climate Change Supplement.

The transition to a low-carbon economy can affect our business in several ways, such as reduced demand for fossil fuels and the consequent reduction in their prices, carbon pricing, and operational impacts due to climate change. We map these risks, quantify their impacts and define actions for their management, such as emission reduction commitments and technological innovation activities.

In our Strategic Plan 2023-2027 (SP 2023-27), we reviewed our set of sustainability commitments published for the 2025 and 2030 horizon, six of which are related to GHG emissions:1

1. Reduction of total operational absolute emissions by 30% by 20302;

2. Zero routine flaring by 20303;

1 Base year 2015 for commitments that indicate a reduction percentage. The selection of 2015 as the base year is linked to a new cycle of goals after an initial cycle carried out between 2009-2015 and the year the Paris Agreement was created.

2 Petrobras is committed to maintaining the level of emissions in 2030 in relation to 2022 when we consider the emissions related to the average thermoelectric dispatch of the last 5 years in this year's projection. Petrobras' commitment is to not exceed 54.8 million tons of CO2 in 2030, unless there is a strong demand for electricity generation from thermal plants due to national water stress events. Achieving this commitment considers the possibility of using carbon credits as a complementary strategy and depends on actions to gain efficiency and divestments provided for in SP 202327.

3 In accordance with the World Bank's zero routine flaring initiative.

3. Reinjection of 80 million tCO2 by 2025 in carbon capture, use and storage (CCUS) projects;

4. GEE Intensity in the E&P segment: Achieve portfolio intensity of 15 kgCO2e/boe by 2025, maintained at 15 kgCO2e/boe by 2030);

5. Consolidation of a 55% reduction in the intensity of methane emissions in the upstream segment by 2025, reaching 0.29 t CH4/thousand tHC; and

6. GHG intensity in the Refining segment: Achieve intensity of 36 kgCO2e/CWT by 2025 and 30 kgCO2e/CWT by 2030.

Our absolute operational emissions reduction target encompasses 100% of assets operated across all our businesses, including power generation, for all GHGs.

With this review, we are accelerating the decarbonization of operations, increasing our target from 25% to 30% in absolute emissions by 2030 compared to 2015. The commitment on CO2 reinjection also increased, from 40 to 80 million tCO2 by 20254. Finally, we also revised our commitment on the intensity of methane emissions, moving from a 40% reduction to the consolidation of a 55% reduction in the upstream segment by 2025 compared to 2015.

In addition to our short and medium term commitments, our long-term ambition5 is to neutralize emissions in activities under our control (Scopes 1 and 2) by 2050 and influence our partners to achieve the same ambition in non-operated assets. Our commitments involve both working on existing assets and designing new projects.

In support of our commitments and reinforcement of our low carbon position, our Board of Directors approved in SP 2023-27 a Capex of USD 4.4 billion, as follows: (i) USD3.7 billion invested in projects that contribute to operational decarbonization initiatives (Scopes 1 and 2); (ii) USD0.6 billion in biorefining initiatives (renewable diesel and jet fuel); and (iii) USD 0.1 billion in Research and Development (R&D) for new low-carbon capabilities.

As one of the tools aimed at supporting our emissions neutrality trajectory, SP 2023-27 reinforced the Decarbonization Fund, which seeks to finance decarbonization solutions that reduce emissions with the lowest cost and greatest impact on carbon mitigation.

The planned budget for the fund, which is included in the total of USD 4.4 billion of resources allocated for low carbon, was increased from USD 248 million to USD 600 million in SP 2023-27.

It should be noted that the first portfolio of projects for use by the fund was approved in 2022, covering 13 opportunities with a total expected investment of USD 76 million between 2022 and 2026 and going into effect as of 2023 (year of first implementation) reaching around 1 million tCO2e per year of offset emissions when all 13 opportunities are implemented.

Throughout 2022, we made progress in analyzing possible new businesses that could reduce exposure to and dependence on fossil sources and that, at the same time, are profitable, guaranteeing our long-term sustainability.

SP 2023-27 now includes the businesses that were indicated by a multicriteria analysis, among several studied, as the most suitable for deepening studies: offshore wind, hydrogen, and carbon capture.

We emphasize that there is still no investment allocated in this strategic plan for these possible new businesses. —

Our governance for climate change and energy transition is structured in such a way that these issues are addressed at all levels of the company, including senior management. Integration of the theme across the various levels of the company is carried out by the Executive Management of Climate Change, whose function is to design and coordinate corporate positioning, strategies and actions related to carbon management, atmospheric emissions, energy efficiency and climate change, aiming to maximize the company's value creation in view of the risks and opportunities linked to the transition to a low-carbon economy. This executive management currently responds to the newly created Energy Transition and Sustainability Executive Office. In 2022 in answered to Institutional Relationship and Sustainability Executive Office, which is responsible for overseeing all matters related to sustainability, including climate and the transition to a low-carbon economy.

The Indicator for Meeting Greenhouse Gas Targets (IAGEE), which represents the consolidation of meeting the greenhouse gas intensity targets for our E&P and Refining segments, is one of our top metrics, and impacts variable compensation of all employees, including senior management. The performance of this and other carbon related indicators are monitored internally by Climate governance.

In addition to internal monitoring, we provided external disclosure regarding our carbon strategy management and performance, following the best transparency practices worldwide. We publish our Climate Change Notebook based on the TCFD requirements, we publish information and results on our website and in webcasts, and we hold meetings with investors, among other practices. Also in 2022, we achieved an A- grade (Leadership level) at the CDP and remained on the Dow Jones Sustainability IndexTM (DJSI).

The results of the indices and evaluations, as well as contacts with external stakeholders and the internal monitoring of our performance are the basis for implementing improvements in the management of this issue.

Our decarbonization initiatives

Bearing in mind our commitments to sustainability with a focus on carbon and our ambition to be neutral in emissions, we systematically map opportunities to reduce GHG emissions. Since 2021, we have organized the set of opportunities to mitigate operational GHG emissions using the Marginal Abatement Cost Curve (MACC) methodology.

The challenge of achieving operational emissions neutrality is great, and we recognize that we have many, but not all, the answers on how to get there. To overcome this challenge, the Carbon Neutral Program was structured to strengthen our current low carbon position, as well as accelerating and reducing the costs of decarbonization solutions, providing the company with greater competitiveness. The program seeks an integrated corporate vision of all our initiatives, developed by different business areas, with different action fronts:

Carbon Neutral Program

>> Information about the Carbon Neutral Program can be found in our Climate Change Supplement.

Emission performance

As a basis for monitoring our emissions performance, since 2002 we have had proprietary software to manage our emissions inventory, the Atmospheric Emissions Management System (SIGEA®). This computerized system consolidates our emissions inventory through the monthly processing of information from approximately 10,000 emission sources. It lists GHG emissions: carbon dioxide (CO2), methane (CH4), nitrous oxide (N2O), sulfur hexafluoride (SF6) and hydrofluorocarbons (HFCs), in addition to emissions of atmospheric pollutants.

Our inventory of atmospheric emissions is prepared in accordance with the guidelines of the Greenhouse Gas (GHG) Protocol, developed by the World Resources Institute (WRI) and the World Business Council for Sustainable Development (WBCSD). For the composition of our inventory, we adopted the source-tosource methodology, known as “bottom-up”. That is, the total inventory is made up of the sum of emissions from each emitting source. In terms of organizational boundaries, we use the operational control approach for our emissions inventory; therefore, emissions related to all assets under our operational control are included. Emissions calculations are based on international references such as the American Petroleum Institute (API) Compendium, the Compilation of Air Pollutant Emission Factors (AP42) of the US Environmental Protection Agency (US EPA), and the calculation tool of the Brazilian GHG Protocol Program.

Our inventory has been published voluntarily since 2002 and is verified annually by a third party, representing our pioneering spirit in GHG management. We are also founding members of the Brazilian GHG Protocol Program and publish our inventory in its Public Emissions Registry, having received the Gold

7

Seal classification in 20226 for the fifth consecutive year, a standard of excellence in data quality and availability.

Each operational area is responsible for managing emissions and feeding SIGEA®. Based on its inventory, it assesses its own performance, identifies opportunities to reduce emissions at its units, and implements improvement solutions.

The Climate Change Executive Management monitors our global inventory and coordinates corporate and strategic actions. Based on the data consolidated by the emissions inventory and the calculation of expected indicators, it is possible to monitor our performance in emissions and progress in relation to the defined commitments. We have established carbon governance in where we monitor commitments, goals and initiatives at the various technical and managerial levels, including senior management.

Reduction of greenhouse gas emissions

Between 2015 and 2022, our absolute operational GHG emissions dropped by 39%. In 2022, operational emissions totaled 48 million tCO2e, with the low thermoelectric dispatch in 2022 significantly affecting this result. Efficiency and loss reduction actions implemented in the operating segments, as well as the divestments completed at the end of 2021 and throughout 2022, were also vectors for lower GHG emissions.

HISTORY OF ABSOLUTE GHG EMISSIONS7 (consolidated in millions of tCO2e) a) Emissions over the period refer to E&P, refining, fertilizers, petrochemicals, electricity generation, land (pipeline and road) and maritime transport operations, as well as distribution activities in Brazil, Argentina, Bolivia, Colombia, United States, Mexico, Paraguay, and Peru. The range of activity types and countries of operation may vary over the years according to our portfolio management. b) We include direct (Scope 1) and indirect greenhouse gas emissions from the acquisition of electric and/or thermal energy produced by third parties (Scope 2). c) CO₂ emissions were calculated based on the Global Warming Potential (GWP) values of the Fourth Assessment Report of the IPCC - Intergovernmental Panel on Climate Change (AR4). In reports prior to 2016, these emissions were calculated considering the GWP values of the IPCC’s Second Assessment Report (SAR); therefore, there are changes in data from previous years. d) Other possible changes in historical numerical information regarding previous publications of the Sustainability Report, are due to improvements in the atmospheric emissions management system or recommendations resulting from the third party verification process. e) Our emissions are verified annually by a third party, with a forecast that data verification from 2022 will be completed by July 2023, and may undergo adjustments until then. f) Biogenic CO2 emissions are not representative in our inventory g) 2021 value of direct GHG emissions (Scope 1) revised after third-party certification completed in July 2022, from 61.4 million tCO2e to 61.3 million tCO2e.

6 Gold seal awarded in 2022 for our inventory for 2021 published on the platform of the Public Emission Registry of the Brazilian GHG Protocol Program.

Climate resilience, GHG emissions and other gases

Our goal of reducing absolute operational emissions by 30% by 2030, compared to 2015, is aligned with the progressive reduction of our operational emissions, already considering the increase in production expected for the period, and is supported by a set of actions systems to be implemented in the coming years.

The expected effects of our asset portfolio management are included in the emissions trajectory already observed and are considered in our future emissions projection scenarios.

This target encompasses Scope 1 and 2 emissions of 100% of the assets operated in all our businesses, including power generation, for all greenhouse gases, making a material, relevant, short and medium-term contribution to tackling to climate change.

Our CO2 emissions represented around 97% of the total GHG, in terms of CO2 equivalent, emitted in 2022.

HISTORY OF GHG EMISSIONS BY BUSINESS SEGMENT9(consolidated in millions of tCO2e)

Considering only the operational emissions from our oil and gas activities, that is, excluding emissions from thermal plants, there has been a continuous downward trend over the last few years, reaching a reduction of 23% between 2015 and 2022.

The E&P and Refining segments account for the most significant portion of our total absolute operating emissions. The GHG emission intensities of these two segments make up our top metric (IAGEE) and show a downward trend in recent years, as discussed below.

GHG emission intensity in E&P

We monitor our performance in terms of intensity of GHG emissions in the oil and gas production segment, and we have had outstanding results in the pre-salt fields.

Our commitment is to continue to improve the carbon efficiency of our E&P activities, with the goal of reaching 15 kgCO2e/boe in 2025, maintained until 2030.

Since 2009, we have already achieved a 50% reduction in the intensity of GHG emissions in E&P activities, because of actions related to improvements in energy efficiency, reduction of losses, and better gas usage with reduced flaring, in addition to improvements in accounting and inventory of emissions. —

9 “Others” include gas treatment units, LNG terminals, maritime transport, gas transport activities (Transpetro and TBG), administrative activities of Petrobras, in addition to operational activities not previously described: Petrobras Biofuels; Fertilizers (until 2020); Liquigás (until 2019); and Petrobras Distribuidora (until 2018). 2021 GHG emissions from thermal plants revised after third-party certification completed in July 2022, from 15.4 million tCO2e to 15.2 million tCO2e. GHG emissions from 'Others' in 2021 were also revised from 4.9 million tCO2e to 5.0 million tCO2e.

INTENSITY OF GHG EMISSIONS IN E&P (consolidated in kgCO2e/boe)

We also highlight that the main pre-salt oil streams that we produce have a carbon intensity that is even lower than the average value of our operations. Together, the Tupi and Búzios streams accounted for around 51% of our total production in 2022.

GHG EMISSION INTENSITY IN E&P - 2022 (kgCO2e/boe)

Considering the entry forecast of 18 new FPSOs (floating oil production, storage and transfer unit) in this five-year period and the differentiated performance profile in emissions for new units and those that already operate in mature fields, as of 2023, we will monitor the performance of the E&P segment using 3 metrics: IGEE E&P Implemented Units (which will become part of our top metric), IGEE E&P New Units, in addition to the IGEE E&P of the total portfolio, related to our history of commitment to sustainability. With these metrics, we will have greater transparency on the performance of new units and units that are already in operation.

Climate resilience, GHG emissions and other gases

Intensity of GHG emissions in Refining

In the Refining segment, the intensity of GHG emissions continued the downward trend of recent years, reaching a result of 37.9 kgCO2e/CWT in 2022, a reduction of 4.5% compared to 2021 and 12% compared to 2015. The improvement observed in the indicator is mainly due to efforts in energy optimization of refining processes, a significant reduction in steam and condensate loss, and improvement in the performance of process furnaces.

Intensity Of Ghg Emissions In Refining

10 (kgCO2e/CWT)

Upstream methane emissions

Our segment carbon intensity targets incorporate different GHGs, including methane. However, given the characteristics of methane, whose warming potential is very high in the short term, we monitor this gas with specific metrics. In SP 2023-27, we expanded our commitment to reduce emissions of this GHG, increasing our target from 40% to 55% of reduction in the intensity of methane emissions, in relation to the total operated production of hydrocarbons (tCH4 /mil tHC), in the upstream segment. Our commitment is to achieve this reduction in 2025, using 2015 as the baseline year, which means reaching the result of 0.29 tCH4/thousand tHC in 2025.

10 The kgCO2e/CWT indicator uses the CWT (Complexity Weighted Tonne) methodology, developed by Solomon Associates and the Association of European Oil and Gas Refining and Distribution Companies (CONCAWE) specifically for the European oil refining industry and adopted by the European Union Emissions Trading System (EU ETS) in setting the sector's GHG reduction targets. The CWT of a refinery considers a load equivalent to distillation in terms of potential GHG emissions, given the different process units and respective loads processed in a refinery. Thus, it is possible to compare emissions from refineries of various sizes and complexities. The process of external verification of the inventory and emission indicators for the year 2022 is expected to be concluded by July 2023, and may undergo alterations by this date.

Since 2015, we have observed a reduction in the intensity of upstream methane emissions of around 60%. This result is mainly due to the reduction in the volume of gas sent to the flare, with a consequent increase in the rate of use of gas, the optimization of ventilation emissions estimates, and the adjustment of the flaring emission protocol (combustion efficiency).

In addition to the 2025 commitment, in early 2022 we announced our adherence to the Aiming for Zero Methane Emissions initiative promoted by the Oil and Gas Climate Initiative (OGCI). This initiative of the oil and gas sector recognizes that the elimination of methane emissions from the upstream segment is one of the best short-term opportunities in contributing to the mitigation of climate change and proposes a joint effort to achieve Near-Zero Methane Emissions by 2030.

We also highlight that between 2015 and 2022, we reduced our total direct methane emissions by 67%, that is, including all segments of the company.

In 2018, we announced our support for the World Bank's Zero Routine Flaring by 2030 initiative, and meeting this criterion is one of our Sustainability Commitments.

Our work to achieve this commitment includes mapping and reducing routine flaring volumes in our E&P assets in operation and in the projects for new assets.

We reviewed our engineering guidelines and incorporated the concept of routine zero flaring into the project bases for oil and gas production units, that is, all new projects will start operating in compliance with the commitment. As an example, we can mention the flare gas recovery system (FGRUs) installed in our new units, in addition to gas recovery from cargo tanks, closed drainage systems and glycol regeneration, actions that reduce methane emissions.

It is important to point out that we already have a high usage rate for gas produced, reaching 97.3% in 2022.

CCUS projects in E&P

In yet another low-carbon commitment in the E&P segment, our objective is to achieve a cumulative total reinjection of 80 million tons of CO2 by 2025, which will contribute to technological evolution, cost reduction and demonstration of the safety of CCUS for application in the oil and gas industry and other sectors. We emphasize that this commitment was also expanded in SP 2023-27, when, in view of the performance of recent years, we doubled our objective.

Currently, there are 21 platforms that we operate in the pre-salt layer that incorporate CCUS technology associated with Enhanced Oil Recovery (EOR), with performance in constant evolution. By 2025, we will total 80 million tons of CO2 reinjected into Pre-Salt reservoirs.