"BP today announced that is has signed a memorandum of understanding to explore areas of cooperation with Petroleo Brasileiro SA (Petrobras)," the London-listed giant said in a statement which gave no financial details.

"Through this strategic alliance, Petrobras and BP have committed to exploring potential joint commercial agreements in areas of mutual interest in upstream, downstream, trading and across low carbon initiatives, inside and outside Brazil.

"The alliance is also expected to include the transfer of technology, as well as joint training and research."

BP chief executive Bob Dudley added that his company had built up a "strong" relationship with Petrobras over many years.

"We are now excited to deepen our partnership and explore even more opportunities together across all our businesses -- in the upstream, downstream, trading and low carbon -- both in Brazil and beyond," he said.

"We believe that working together in this alliance can deliver real value for both BP and Petrobras."

BP, which has been present in Brazil for over 60 years, added that it currently partners Petrobras in 16 exploration blocks in Brazil.

Downstream includes refining, marketing and distribution, while upstream comprises exploration and production.