|Bid||8.41 x 28000|
|Ask||8.50 x 45100|
|Day's Range||8.43 - 8.69|
|52 Week Range||4.01 - 16.95|
|Beta (5Y Monthly)||2.07|
|PE Ratio (TTM)||N/A|
|Forward Dividend & Yield||N/A (N/A)|
|Ex-Dividend Date||Apr 28, 2020|
|1y Target Est||14.07|
Brazilian state-run oil company Petrobras is considering installing offshore units to liquefy the growing natural gas production at the so-called pre-salt area, Viviana Coelho, the company's emissions and climate change manager, said during a webinar on Friday. The LNG units could be an alternative, she said, for the natural gas associated with oil produced at the pre-salt, a deep-water exploratory region located more than 100 miles from the coast. Petroleo Brasileiro SA, as the firm is formally known, currently relies on offshore pipelines to bring natural gas to the coast, where it is processed.
Petrobras' (PBR) gas sales surge in the May 10-16 time frame to touch 459,000 cubic meters from 146,000 cubic meters recorded in late March.
Some 10,000 employees of Brazil's Petrobras, or 22% of its workforce, have accepted voluntary buyouts, Chief Executive Roberto Castello Branco said on Wednesday, as the state-run oil company intensifies its quest to slim down and refocus on core businesses. In a webinar hosted by Brazilian newspaper Valor Economico, Castello Branco said the deadline for employees to sign up for the program was Tuesday. "We have approximately 10,000 people signed up, which means 22% of Petrobras' employees are going to leave the company," he said.
Indian conglomerate Essar Group made a binding offer to Brazil's Petroleo Brasileiro SA to buy the country's second largest oil refinery, two people with knowledge of the matter said on Tuesday. Petrobras, as Brazil's state-controlled oil producer is known, has received at least two offers for the 323,000 barrels per day Landulpho Alves refinery in Bahia, known as Rlam. If Essar's bid is successful, it would mark the group's debut in Brazil.
Petrobras' (PBR) oil and gas production at its Atapu field is being carried out using P-70 FPSO unit, which can produce 150,000 barrels of oil and nearly six million cubic meters of natural gas daily.
Brazil's state-run oil company Petrobras said in a filing on Monday its transportation unit Transpetro will begin a voluntary layoff program this year, aiming to reduce its workforce by 557 employees. The program will begin next September and is expected to last through July next year, Petroleo Brasileiro SA, as the company is formally known, said.
Brazilian state-run oil firm Petrobras has put its Urucu oil and gas cluster in the interior state of Amazonas up for sale, it said in a securities filing on Friday evening. The Urucu cluster was responsible for 106,353 barrels of oil equivalent per day of production in the first quarter, the company said. Petroleo Brasileiro SA, as the company is formally known, said the cluster produced 16,500 barrels per day of oil, with the rest being natural gas and natural gas liquids.
Abu Dhabi's Mubadala Investment Company placed a binding offer for Petroleo Brasileiro SA's refinery in the northeastern Brazilian state of Bahia on Thursday, two people with knowledge of the matter said on Friday. The 330,000 barrel-a-day refinery, known as RLAM, is the first of a group of eight such units the state-controlled oil producer plans to sell to cut debt and open one of the world's largest fuel markets to private investors. Petrobras and Mubadala declined to comment.
Petrobras' (PBR) plan to sell its stakes in the four offshore oil fields off the coast of Brazil's Ceara state is in line with its strategy to contain costs and boost capital deployment.
Transpetro, the logistics unit of Brazilian state-run oil firm Petrobras , registered a 60% decline in fuel theft at its pipelines in the state of Sao Paulo, it said on Friday, suggesting investment to diminish such crimes is paying off. Sao Paulo, Brazil's most populous state, is the epicenter of fuel robbery in the South American nation, and also the home of some its most sophisticated organized crime groups. While the number of thefts from pipelines in Brazil pales in comparison to thefts in nations like Mexico and Colombia, it is growing fast.
Global development banks are mobilizing billions of US dollars in capital to fund initiatives in Latin America as commercial bank lending slumps throughout the region, which is grappling with a spike in coronavirus cases and a severe dip in projected economic performance. In recent months, the Inter-American Development Bank Group’s IDB Invest, which supports private sector companies in Latin America and the Caribbean, has increased its funding program by US$2bn to US$7bn. Meanwhile, Latin American syndicated loans led by commercial banks tallied just US$3.5bn for the first half of 2020, down 90% from the first half of last year, according to Refinitiv LPC data.
Brazil's Petrobras has decided to keep half its administrative staff working from home permanently, the company told Reuters, in a dramatic example of how the novel coronavirus has major companies rethinking their use of office real estate. The oil company has sent as much as 90% of its 21,000 administrative staff home since March due to the pandemic. The experience has revealed new opportunities to save costs with office space, Petrobras said in a response to questions.
BP plc (BP) will take a $17.5 billion write-down in its second-quarter results, while ConocoPhillips (COP) said that it will restore its oil production on improving fundamentals.
Petrobras (PBR) ships 1.11 million tons of fuel oil in May, accounting for 10% growth from the previous record set in February this year.
(Bloomberg) -- Aging offshore oil wells that once brought market prominence to Europe, the U.S. Gulf and Brazil are increasingly money losers that companies want shut down amid low oil prices and a struggling global economy. But the effort won’t be cheap.The cost worldwide: An estimated $104.5 billion by 2030, according to Wood Mackenzie Ltd. At least 23 platforms a year could be retired in the North Sea alone, Rystad Energy Inc. reported in May, while the national oil company in Brazil has said it’s planning to spend $6 billion to retire 18 platforms, pipelines and other infrastructure by 2025.Companies can’t just abandon aging offshore wells. In most cases, regulators who approved them required pricey guarantees to make sure they’re properly sealed, and there are environmental issues involved in their upkeep. That can mean the use of divers or robot submarines to plug wells and pipelines on the ocean floor, an expensive proposition, as well as cutting apart and moving steel platforms that can weigh as much as 17,000 tons.“Abandonment costs will haunt the industry in the years to come, especially if governments get tougher with parent company guarantees,” said Marcelo de Assis, the head of Latin American upstream research at Wood Mackenzie Ltd. “The crisis fast forwarded the situation.”The spectacular decline in North Sea production since it peaked in the 1990s has left so much equipment unused that by 2025, oil companies will spend more on removing redundant equipment than developing new fields, according to Wood Mackenzie.Deepwater production was a new frontier for the oil industry in the 1980s and 1990s, and many of these projects are now reaching the end of their lives.But the push to close offshore wells comes as the oil industry has suffered some major blows. They include a price war between Saudi Arabia and Russia that flooded the world with crude, a pandemic that destroyed demand and skepticism from investors who want less money spent on exploration and more returned to them. The Organization of Petroleum Exporting Countries and allies will meet Saturday by video conference and, according to a delegate, are set to extend output cuts to prop up the oil market.At the same time, the U.S. shale boom has drastically lowered the cost of opening and operating a well on land, as well as closing one, compared with the price tag tied to wells offshore.Despite a recent uptick in oil prices, they remain too low and volatile to lure buyers to the aging and small-producing fields Brazil’s Petroleo Brasileiro SA and other deep-water operators are walking away from. The small- to mid-sized producers with low enough costs to turn a profit from exhausted oil fields are protecting their balance sheets, and banks are reluctant to provide funding.In the U.S. Gulf of Mexico, which generates about 15% of the nation’s output, explorers are expected to spend about $1 billion a year over the next half decade to decommission hundreds of wells, according to Wood Mackenzie.While the collapse in oil prices is having an effect on more offshore wells permanently shut, there’s also a push in the Gulf to extend the lives of some aging infrastructure. The key: Drilling new wells near existing platforms that can be fed by undersea pipelines as a way to cut costs.“Companies are doing everything they can to avoid abandoning facilities because that’s very expensive,” Justin Rostant, principal analyst at Wood Mackenzie, said in a phone interview. “They’re just bringing in third-party production wherever they can to extend the life of these facilities.”It costs an average of $10 million per well in deepwater and about $500,000 a well in shallow waters to plug and abandon a well in the Gulf of Mexico, Rostant said. Most wells shut down in the U.S. Gulf are coming from shallow waters, where the wells are the oldest and have lost their ability to make money.U.K. PayoutMeanwhile, the U.K. will be the leader in North Sea decommissioning, followed by Norway and Denmark. The U.K. is forecast to pay out more than 20 billion pounds ($26 billion) to close its platforms in the region by 2030.Removing offshore platforms can be controversial. Royal Dutch Shell Plc has sought permission to leave the giant concrete “legs” of its iconic Brent field in the North Sea because it says removing them would pose a greater environmental risk. However, Germany and the Netherlands, as well as environmental group Greenpeace, have raised concerns over leaving the structures in the sea.Brazil’s GoalThe goal in Brazil is to restore the environment as close to its original state as possible, Raphael Neves Moura, a superintendent at ANP, Brazil’s national petroleum agency, said during a web conference held by the Brazilian Petroleum Institute, an industry group.ANP introduced regulation in April to handle the influx of deserted equipment due to fallout from the pandemic. The agency will seek to find buyers for discarded fields before moving to abandonment, Moura said.In a statement, Petrobras said it continues to seek buyers to take on assets it’s written off. Petrobras is planning to auction three Campos Basin platforms that date back to the 1980s for scrap metal in July. These platforms have been off line since 2015 or so, so weren’t part of the 62 shut since the pandemic.In the first quarter, Petrobras wrote off 62 shallow water platforms, or about 75% of its fleet, as part of a 65 billion real ($12.5 billion) impairment. The wells to be closed only produced a combined 23,000 barrels a day, less than half of Petrobras’s top wells in the so-called pre-salt region.‘Stress Tests’In Brazil, the Campos basin has been eclipsed by larger discoveries with higher-quality oil even deeper in the Atlantic, where Rio de Janeiro-based Petrobras is focusing its investments. As a result production has plummeted at these fields, and Petrobras is carrying out “stress tests” at its remaining projects to weed out others that can’t survive.Rystad expects low service costs to encourage operators worldwide to clear out old equipment now that low oil prices have undermined incentives to extend them.No matter how the millions of tons of steel and pipes are removed, governments are likely to step in to make sure tax payers aren’t the ones paying, said Wood Mackenzie’s Assis.“There is a push from regulators. There will be more pressure for financial guarantees,” he said.(Updates to add OPEC+ meeting in seventh paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Brazilian states are bolstering the fight against destruction of the Amazon rainforest with millions of dollars from an oil company's corruption settlement that allows them to partially compensate for weakening environmental protections under President Jair Bolsonaro. State environmental agencies will have a one-off windfall that Reuters calculates will total at least 140 million reais ($27 million). The cash, which comes from a massive settlement payment from state-run oil firm Petrobras, will be spent on patrol officers, jeeps, surveillance technology and other outlays to protect the rainforest, officials in all nine Amazon states told Reuters.
Roberto Castello Blanco said at an event yesterday that Petrobras’s oil stockpiles are “paradoxically” very low, despite the brimming storage levels in other countries
Brazil's Central Bank monetary policy director Bruno Serra said on Thursday that external funding to the country is beginning to normalize, one day after state-controlled oil company Petroleo Brasileiro SA sold $3.25 billion in bonds. Serra, in a presentation released on Thursday, said central bank intervention on forex worked well and said the goal has always been to assure normal functioning of markets. Serra added that voluntary deposits at the central bank may be used to help monetary policy in the future.
Brazil's investors were ebullient today. Shares of Brazilian stocks of all sorts shot out of the gate Tuesday morning along with the broader market, with financial firms Banco Bradesco (NYSE: BBD) and Itau Unibanco (NYSE: ITUB), meat processor BRF (NYSE: BRFS), and oil major Petroleo Brasileiro (NYSE: PBR) (NYSE: PBR.A) all notching gains of roughly 10% or more in early trading.
Brazil's centre-south region produced 2.5 million tonnes of sugar in the first half of May, up 55% from a year earlier, as mills continued to favor sweetener production over ethanol. According to industry group Unica, mills allocated 47.2% of the cane to sugar production in the period, versus 36% a year earlier. Unica's technical director Antonio de Padua Rodrigues said ethanol has been priced competitively in the market, which has allowed the biofuel to gain share from gasoline at pumps.
Norway's Equinor ASA, Brazil's Dommo Energia SA and Anglo-French firm Perenco are among at least six oil producers that have registered coronavirus cases among employees or contractors at facilities off the coast of Brazil, according to industry and regulatory sources. Royal Dutch Shell PLC and Brazil's Enauta Participacoes SA have registered one case each. Hundreds of cases have been recorded at oilfields operated by state-run Petrobras.
Norway's Equinor ASA <EQNR.OL>, Brazil's Dommo Energia SA <DMMO3.SA> and Anglo-French firm Perenco are among at least six oil producers that have registered coronavirus cases among employees or contractors at facilities off the coast of Brazil, according to industry and regulatory sources. Royal Dutch Shell PLC <RDSa.L> and Brazil's Enauta Participacoes SA <ENAT3.SA> have registered one case each.