Brazil’s state-run oil company Petrobras has suspended studies for a $1 billion natural gas pipeline due to regulatory uncertainty surrounding a proposed government plan to boost market competition, according to sources familiar with the matter. The regulatory shift threatens major offshore infrastructure investments designed to bring natural gas to shore. Petrobras halted studies on the pipeline linked to its deepwater Sergipe project in northeastern Brazil. The proposed pipeline is intended to connect two planned floating production units capable of processing up to 22 million cubic meters of natural gas and 240,000 barrels of oil daily, with first production anticipated in 2030. The regulatory uncertainty could also affect Norwegian energy firm Equinor's Raia project in the Campos Basin.