OSLO, Jan 28 Norway’s sovereign wealth fund, the world’s largest, has put Brazilian oil company Petrobras on its ethics watch list due to the company’s involvement in Brazil’s largest-ever corruption scandal.
The $800 billion-plus fund, charged with the management of Norway’s oil wealth, said it could exclude it from the fund’s investments if it saw no improvement in management of the Brazilian state-owned company.
“We have had a dialogue with the people at Petrobras who are implementing the new systems, and we don’t have confidence that this will be done in a satisfactory manner,” Irmela van der Bijl Mysen, a senior adviser at the council on ethics, told Reuters.
Petrobras is battling to cut costs in the face of a crash in the oil price and the corruption scandal. The discovery of price-fixing, bribery and political kick-backs at the company led Petrobras to write off $17 billion of over-valued assets in 2015.
Brazil Energy Insight 
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