• 4 minutes Oil Price Editorial: Beware Of Saudi Oil Tanker Sabotage Stories
  • 6 minutes UAE says four vessels subjected to 'sabotage' near Fujairah port
  • 13 minutes Mueller Report Brings Into Focus Obama's Attempted Coup Against Trump
  • 15 minutes Magic of Shale: EXPORTS!! Crude Exporters Navigate Gulf Coast Terminal Constraints
  • 7 hours Trump bogged down in Mideast quagmire. US spent $Trillions, lost Thousands of lives, and lost goodwill. FOR WHAT? US interests ? WHAT INTEREST ? . . . . China greatest threat next 50 years.
  • 14 hours Why is Strait of Hormuz the World's Most Important Oil Artery
  • 3 hours Solar Cheaper than Coal
  • 3 hours CLIMATE PANIC! ELEVENTY!!! "250,000 people die a year due to the climate crisis"
  • 5 hours Rural and Conservative: Polish Towns Go 'LGBT free' Ahead Of Bitter European Election Campaign
  • 6 hours Global Warming Making The Rich Richer
  • 12 hours California's Oil Industry Collapses Despite Shale Boom
  • 17 hours Wonders of Shale- Gas,bringing investments and jobs to the US
  • 9 hours Misunderstanding between USA and Iran the cause of current stand off, I call BS
  • 11 hours North Dakota oil output totals 1.39 million b/d in March, up 4% on month: state
  • 17 hours Knock-Knock: Aircraft Carrier Seen As Barometer Of Tensions With Iran
  • 17 hours "We cannot be relying on fossil fuels to burn as an energy source at all in our country" - Canadian NDP Political Leader
  • 9 hours Compensation For A Trade War: Argentina’s Financial Crisis Creates An Opportunity For China
  • 4 hours Crude oil?
Beware Of Saudi Oil Tanker Sabotage Stories

Beware Of Saudi Oil Tanker Sabotage Stories

Reports of attacks on Saudi…

Canada’s Pipeline Crisis Isn’t All Bad For Investors

Canada’s Pipeline Crisis Isn’t All Bad For Investors

Canadian drillers that find themselves…

Petrobras May Pay First Dividend In 3 Years

Petrobras

Brazil’s state energy major Petrobras last distributed a dividend in April 2014. This year could mark the return of the payouts as the company eyes to end 2017 in the black. Chief executive Pedro Parente said, as quoted by Reuters, that “We really are keen to start paying dividends as fast as we can.”

Troubled Petrobras reported a net profit of US$1.417 billion for the first quarter of this year, up from a net loss of US$318 million for the year-earlier period. The company attributed the positive performance to 72-percent higher exports, at 782,000 bpd, at higher prices, as well as to lower oil and gas import costs. The latter were a result of higher production of oil and gas at home, which led to a 40-percent decline in imports.

Domestic oil production rose 10 percent on the year to 2.182 million bpd, and overall output went up 9 percent to 2.248 million bpd. Asset sales also contributed to the results but they also accounted for a reduction in income from international operations, notably the sale of Petrobras’ Argentine and Chilean operations.

A resuming of the dividend payout will go a long way towards instilling some semblance of confidence in Petrobras’ shareholders after two years of low oil prices, subsidies eating into the company’s revenues, and a graft investigation that toppled Brazil’s previous government.

Over that period, Petrobras’ debt swelled to around US$130 billion, becoming the largest in the global oil industry. Now, Parente’s top priority is to reduce this huge burden on the company and thanks to the positive Q1 performance, there is a chance that the company will be able to do it ahead of schedule, cutting its debt to EBITDA ration to 2.5x from 5.1x attend-2015. At the end of March 2017, debt was 3.24 times the company’s EBITDA.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News