Brazil’s Petroleo Brasileiro SA will press ahead with a $15 billion asset sale program to pay off debt and limit further cuts to its investments as oil prices tumble to 12-year lows, the state-led oil company told analysts on Friday.
In a note to investors, Itau-BBA said Petrobras executives also stressed that a 25 percent cut in five-year capital spending to $98.4 billion announced on Tuesday will have a limited impact on the oil production outlook at Petrobras.
Itau-BBA oil and gas company analyst Diego Mendes said the executives provided “sound explanations” for Tuesday’s cuts to capital spending and output. But Itau-BBA said a revival in Petrobras’ stock, now approaching 13-year lows, will happen only when the company delivers on its promises.
Brazil Energy Insight 
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