There is no immediate need for a capital injection at Brazilian state-run oil firm Petrobras, Finance Minister Joaquim Levy said on Friday, downplaying media reports about a possible government plan to bolster the capital of the heavily indebted company. "They have enough cash to run," Levy told reporters on the sidelines of an infrastructure conference... Continue Reading →
LATAM WRAP-Petrobras extends rally on capital plan
Petrobras was leading LatAm credit markets higher on Friday following news that the Brazilian government was considering a plan to inject fresh capital into the beleaguered oil company. The issuer's 2024s were extending Thursday's late-day rally to trade at 83.50-84.00 on Friday, marking a five-point leap for the week. The company's Century bond was up... Continue Reading →
Sindipetro NF union members decide to end strike at Petrobras
Members of Sindipetro NF have decided to end the 20 day strike at Petrobras. The union members of the Campos Basin represent 65% of Petrobras production. 8 platforms in the Campos Basin will restart operations. Members of Sindipetro Espirito Santo and members of the FNP union are still holding out.
Eni Sells Remaining Galp Stake as Oil Company Disposes of Assets
Eni SpA sold its remaining 4 percent stake in Galp Energia SGPS SA as the Italian oil producer disposes of assets that aren’t part of its main business. Eni raised 325 million euros ($347 million) by selling 33.1 million shares of Portugal’s biggest oil company at 9.81 euros apiece to institutional investors, the Rome-based company said in a... Continue Reading →
Brazil Said to Study Hybrid Securities for Petrobras
Brazil is studying the possibility of using hybrid securities to boost capital at struggling state-controlled oil producer Petroleo Brasileiro SA, Agencia Estado reported, citing government officials it didn’t name. The operation is being discussed between Brazil’s treasury and Petrobras’s management, and no amount has been defined yet, Estado said. The government and Rio de Janeiro-based... Continue Reading →
Brazil prosecutors focus on foreign firms after legal setback
Brazilian prosecutors are increasingly turning their attention to bribery by foreign companies in the country's biggest-ever corruption case, a lead prosecutor said in an interview, adding that only one such company had signed a leniency deal so far. Deltan Dallagnol, 35, a relentless anti-corruption advocate, said companies that bribed employees of state-run oil company Petrobras... Continue Reading →
Cunha Delays Decision on Brazil Impeachment, Lawmaker Says
Brazil’s lower house speaker Eduardo Cunha will postpone until next year his decision whether to accept the opposition’s leading impeachment request against President Dilma Rousseff, Congressman Darcisio Perondi said. Cunha discussed the new timeframe in a talk with lawmakers, said Perondi, a member of the speaker’s PMDB party. Cunha’s press office didn’t immediately respond to... Continue Reading →
Petrobras holdout strikers to vote on new deal Thursday
A union representing workers in the Brazil's top oil region will vote on Thursday on a contract offer from state-run oil company Petrobras on Thursday or continue a strike, the most disruptive in 20 years, the union said Wednesday. The union, Sindipetro Norte Fluminense, called the vote after Petroleo Brasileiro SA, as Petrobras is known,... Continue Reading →
Petrobras’s Dangerous Debt Math: $24 Billion Owed in 24 Months
The debt clock is ticking down at Brazil’s troubled oil giant, Petrobras. Next up: $24 billion of repayments over 24 months. That’s a towering hurdle for a company that hasn’t generated free cash flow for eight years and whose borrowing rates are soaring. Annual debt servicing costs have doubled to 20.3 billion reais ($5.4 billion)... Continue Reading →
Brazil’s Inflation Surpasses 10% for First Time in 12 Years
Brazil’s inflation exceeded 10 percent for the first time in 12 years, complicating President Dilma Rousseff’s efforts to revive an economy that is also battling higher-than-forecast unemployment. Consumer prices rose 0.85 percent from Oct. 15 to Nov. 12, pushing the 12-month inflation rate to 10.28 percent, the national statistics agency said Thursday. The monthly gain,... Continue Reading →
Brazil Energy Insight 