Petrobras, Brazil’s largest company, has announced a 20% reduction in its investment plans for this year, attributing the decision to the challenges faced by its suppliers.
These challenges have delayed the delivery of important equipment. This equipment is needed for finding and getting oil and gas.
Sérgio Caetano Leite, the company’s chief money manager, shared this news. He spoke during a meeting about the company’s money matters for the third quarter.
He said the money planned for finding oil and gas this year will go down. It will decrease from $13.3 billion to $11.2 billion.
Still, this year’s spending will be 30% more than last year’s. In the last three months, Petrobras spent $3.1 billion. This is 31% more than the same time last year.
The company is doing better with its existing oil and gas platforms. Because of this, it now expects to produce more oil and gas this year.
It plans to produce between 2.6 and 2.8 million barrels per day.
Petrobras recently shared its earning details for the last three months. It made a profit of 26.6 billion reais ($5.32 billion).
This is 42.2% less than the same time last year. The drop in profit is due to several reasons.
These include higher prices, suppliers moving to other areas, a short supply of materials, and trouble getting funds.
New Spending Plan
The leaders of Petrobras are talking about a new plan for spending money over the next five years.
They will share this plan at the end of November. They are facing some pushback about spending more on renewable energy.
Maurício Tolmasquim, who leads the company’s shift to new energy types, is looking at renewable energy projects.
These projects are either already working or being built. This review aims to add new types of projects to the company’s work. It also hopes to earn money from these projects sooner.
Petrobras is also focusing on making renewable fuels. These include diesel and aviation fuel made from plants.
Tolmasquim pointed out that Brazil’s flying industry will have to start reducing its carbon output in 2027.
More: Brazil news in English, every day from The Rio Times.
Live Company IntelligencePetroleo Brasileiro Petrobras SA ADR — the full investor dossier
This article was produced by The Rio Times’ automated AI newsroom. Editorial responsibility: Matthias Camenzind, Publisher and Editor-in-Chief. The Rio Times also runs Ask Rio Times, which answers from 100,000+ of our own articles, the daily Latin America Power Map, and prediction-market odds on elections and markets.. How we use AI · Report an error