OIL rig tenders worth as much as US$16 billion may soon be up for grabs with Singapore, a major player in the industry, well-placed to cash in.

Brazilian oil giant Petrobras announced on Thursday that it will invest US$174 billion over the next five years in oil exploration and production with tenders to be placed in May for 28 rigs.

'It can go up to 28 contracts. We are going to place the order to build and then our intention is to place most of them into the market,' said Almier Barbass, Petrobras' chief financial officer.

'Just to build one of these costs (US)$600 million.'

Mr Barbassa spoke on the sidelines of a seminar on business opportunities in Brazil's oil and gas sector held Thursday.

The tender for the 28 rigs could prove a bonanza for companies like Keppel Offshore & Marine and Sembcorp Marine.

Mr Tham Poh Cheong, International Enterprise Singapore's director for infrastructure services and environmental services divisions, said the two companies were well established in Brazil.

'There has been an increasing level of interest from Singapore oil and gas companies in Brazil,' said Mr Tham.

'Our players' reputation of being reliable and efficient solution providers, together with the track record of 'on time, on budget' delivery...will be a significant value-add to their clients in Brazil.'

Brazil is home to some of the last three decades' largest new oil finds.