• 3 minutes Shale Oil Fiasco
  • 7 minutes "Leaked" request by some Democrats that they were asking Nancy to coordinate censure instead of impeachment.
  • 12 minutes Trump's China Strategy: Death By a Thousand Paper Cuts
  • 16 minutes Global Debt Worries. How Will This End?
  • 22 mins DUMB IT DOWN-IMPEACHMENT
  • 2 hours Everything you think you know about economics is WRONG!
  • 2 hours POTUS Trump signs the HK Bill
  • 26 mins Greta named Time Magazine "Person of the Year"
  • 2 hours americavchina.com
  • 3 hours Forget The Hype, Aramco Shares May be Valued At Zero Next Year
  • 23 hours WTO is effectively neutered. Trump *already* won the trade war against China and WTO is helpless to intervene
  • 22 hours Democrats through impeachment process helped Trump go out of China deal conundrum. Now Trump can safely postpone deal till after November 2020 elections
  • 4 hours Winter Storms Hitting Continental US
  • 3 hours Aramco Raises $25.6B in World's Biggest IPO
  • 13 hours Can Renewable Natural Gas Compete With Diesel?

Petrobras To Put More Key Oil Assets Up For Sale

Oil Assets

Brazil’s state-run oil company, Petroleo Brasileiro SA, hopes to boost its value by nearly 50 percent by 2021, in part by putting more offshore oilfields up for sale.

The oil assets in question include stakes in one of Brazil’s largest oilfields, the Marlim field, parts of the Papa-Terra field, its Bolivian assets, petrochem firm Braskem SA, and its remaining stake in BR Distribuidora.

The parts of the Marlim field could fetch as much as $4 billion, while Braskem SA could net as much as $3 billion, Petrobras executives said in a presentation on Wednesday.

If Petrobras succeeds in divesting these assets, it would add billions to its existing divestment program as it scrambles to get out from under its mountain of debt and focus on deepwater exploration in the pre-salt zone, where the majority of its expenses will be focused in the coming years.

But the success of the asset sales is uncertain at best. Petrobras tried to ditch its 36 percent stake in Braskem years ago but failed. Odebrecht, the other holder of Braskem, also tried to ditch its share in the petrochemical firm. It, too, came up empty-handed.

Related: This Oil Major Just Pledged Net Zero Emissions By 2050

Petrobras has a plan to reduce its gross debt to $60 billion by 2021, according to Nasdaq. It has a five-year plan to divest between $20 billion and $30 billion between 2020 and 2024, with plans to increase its production to 2.7 million barrels of oil equivalent per day by 2020, and 3.5 million barrels of oil equivalent per day by 2024.

Other parts of the company’s five-year plan include total capital expenditures of $75.7 billion, 85 percent of which will be allocated to its exploration and production segment.

 By Julianne Geiger 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
Download on the App Store Get it on Google Play