Bonds issued by Brazil’s Petrobras ended the day one to two points higher on Monday as the beleaguered oil company eased refinancing pressure by clinching a US$10bn loan from China.
The up to US$10bn loan from China Development Bank, which can be repaid in cash or oil, will do much to reduce refinancing risks for what is one of the world’s most indebted companies.
The company has about US$24bn in debt maturing between this year and next against some US$25bn in cash, according to Moody’s.
However, it was bonds due between 2018 and 2020 that outperformed in a up day for the state-owned entity Monday, as investors bet that the new loan will help the company tackle maturities during that period.
Brazil Energy Insight 
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