Tag Archives: Petrobras

Shareholders in Brazil’s Petrobras paved the way for a new CEO in a messy meeting | Instant News


RIO DE JANEIRO (Reuters) – Shareholders in Brazil’s Petrobras voted on Monday to remove Roberto Castello Branco as CEO, and elect his government-chosen successor to the board of directors, but dissatisfaction among some investors threatens to delay the transition process.

FILE PHOTOS: Roberto Castello Branco, chief executive of Petroleo Brasileiro SA, attending a press conference in Rio de Janeiro, Brazil February 28, 2019. REUTERS / Sergio Moraes / File Photo

The dismissal of Castello Branco, although widely expected, is an important step in the government’s plan to place Joaquim Silva e Luna, a retired army general with no oil and gas experience, in charge of state-controlled oil producers.

Shareholders also elect eight people to serve on the board of directors, one of whom will represent non-government shareholders. A rejigged board of seven representing the government – the company’s majority shareholder -, three representing market investors and one representing Petrobras employees, the same configuration as the previous company board.

Three members cannot be re-elected and are automatically retained, bringing the total number of board members to 11.

Castello Branco became CEO in January 2019 and won market praise for selling billions of dollars in non-core assets and sharpening Petrobras’ focus on deep sea oil production.

Brazilian President Jair Bolsonaro said in February that he was firing a University of Chicago graduate executive amid a dispute over fuel prices. Castello Branco will remain as caretaker until Monday afternoon.

Bolsonaro chose Luna to lead Petroleo Brasileiro SA, the company’s official title. The career soldier will be selected as chief executive by the new board of directors.

In the securities filing released after the meeting, Petrobras said Board Chairman Eduardo Leal Ferreira had appointed Carlos Alberto Pereira de Oliveira, head of the company’s upstream division, as interim CEO until Luna’s appointment was inaugurated.

COMPLICATIONS

The night was not without drama.

At the start of the trial, Marcelo Gasparino, who was elected as the non-government representative at night, called for the meeting to be postponed due to alleged inconsistencies in the separate preliminary vote counts published by the company prior to the meeting. .

In a LinkedIn post, he said if he was elected he would then resign, a move that could provoke another shareholder meeting under Brazil’s securities law, effectively starting the board selection process from scratch.

The rules governing shareholder meetings in Brazil can be Byzantine, even when they are held in person. Various groups of investors have complained about the complicated rules governing Petrobras shareholder meetings.

The company did not immediately respond to a request for comment on Monday evening.

In his post, Gasparino, the newly elected board member, said he would not step down until the board elects a new CEO, meaning Luna’s official appointment to the top seat is still possible in a short time.

In addition, one of the government-appointed board members, Marcio Weber, was elected even after the Petrobras committee recommended on Friday that he not be given a seat on the board citing conflicts of interest because he was an executive until 2020 of a company. who provide services to Petrobras.

It was impossible to reach Weber immediately on Monday night.

Reporting by Gram Slatery and Marta Nogueira; Additional reporting by Sabrina Valle in Rio de Janeiro and Paula Laier in Sao Paulo; Edited by Will Dunham, Peter Cooney and Karishma Singh

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Petrobras Brasil, the government approved the rules for a potential Sepia, Atapu sale | Instant News


FILE PHOTO: The Petrobras logo is seen in front of the company’s headquarters in Sao Paulo 23 April 2015. REUTERS / Paulo Whitaker / File Photo

RIO DE JANEIRO (Reuters) – The board of Brazil’s state-owned oil company Petrobras has agreed a deal with the government on compensation to be paid to Petrobras in the event of an auction of reserves in two offshore oil regions, the company said. on Friday.

Petroleo Brasileiro SA, the company’s official title, will receive $ 3.253 billion if the reserves from the Atapu field are auctioned off, and $ 3.2 billion if the reserves from Sepia are sold. Payments will be made for roughly a decade.

The government tried and failed to auction off reserves in the offshore Atapu and Sepia oil blocks in 2019, although officials want to try again. Since Petrobras has carried out exploration and development work in the area, the company is entitled to compensation.

Reporting by Gram Slattery; Edited by Leslie Adler and Aurora Ellis

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Petrobras Brasil fired the manager after investigating stock trading | Instant News


RIO DE JANEIRO (Reuters) – Brazil’s Petrobras has fired a top-level manager after deciding he had traded company stock in the days before it released its financial results, the company said on Monday.

FILE PHOTO: The logo of Brazil’s state-owned Petrobras oil company is seen at its headquarters in Rio de Janeiro, Brazil October 16, 2019. REUTERS / Sergio Moraes

Earlier on Monday, four sources with knowledge of the matter told Reuters that Claudio Costa, Petrobras’ executive manager for human resources, sold shares during the company’s “quiet period” before the results were released in late February, in violation of Brazilian regulations.

The trade took place shortly before Brazilian President Jair Bolsonaro announced he was sacking Chief Executive Roberto Castello Branco in February, a development that sent Petrobras’ stock swirling, said the people, who requested anonymity to discuss personal matters.

“The executive manager for human resources was dismissed from the company today,” said Petrobras, citing legislation that prohibits trading in the securities of companies linked to him in the 15 days before the release of the financial statements.

Costa referred Reuters to the press office of Petroleo Brasileiro SA, the company’s official title.

Three sources said the company considered trading timing important, but Petrobras had yet to determine whether any laws relating to insider trading had been violated.

Castello Branco has personally agreed to the dismissal, said one of the sources.

Petrobras said Pedro Brancante, Castello Branco chief of staff, would replace Costa on a temporary basis.

Castello Branco ‘s dismissal came after the company raised domestic fuel prices by more than 30% in less than two months, angering Bolsonaro, whose constituency includes truck drivers who frequently complain about diesel prices. The incident sent investors out, with Brazil-listed preferred stock falling more than 20% in one day.

Castello Branco will be formally replaced in mid-April by Joaquim Silva e Luna, a retired general who previously managed the Itaipu hydroelectric dam on the Paraguay border and has no experience in the oil and gas sector.

Reporting by Gram Slattery, Sabrina Valle and Marta Nogueira; Additional reporting by Jamie McGeever in Brasilia; Written by Ana Mano; editing by Jonathan Oatis and Richard Pullin

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Petrobras Brasil fired the manager after investigating stock trading | Instant News


RIO DE JANEIRO (Reuters) – Brazil’s Petrobras has fired a top-level manager after deciding he had traded company stock in the days before it released its financial results, the company said on Monday.

FILE PHOTO: The logo of Brazil’s state-owned Petrobras oil company is seen at its headquarters in Rio de Janeiro, Brazil October 16, 2019. REUTERS / Sergio Moraes

Earlier on Monday, four sources with knowledge of the matter told Reuters that Claudio Costa, Petrobras’ executive manager for human resources, sold shares during the company’s “quiet period” before the results were released in late February, in violation of Brazilian regulations.

The trade took place shortly before Brazilian President Jair Bolsonaro announced he was sacking Chief Executive Roberto Castello Branco in February, a development that sent Petrobras’ stock swirling, said the people, who requested anonymity to discuss personal matters.

“The executive manager for human resources was dismissed from the company today,” said Petrobras, citing legislation that prohibits trading in the securities of companies linked to him in the 15 days before the release of the financial statements.

Costa referred Reuters to the press office of Petroleo Brasileiro SA, the company’s official title.

Three sources said the company considered trading timing important, but Petrobras had yet to determine whether any laws relating to insider trading had been violated.

Castello Branco has personally agreed to the dismissal, said one of the sources.

Petrobras said Pedro Brancante, Castello Branco chief of staff, would replace Costa on a temporary basis.

Castello Branco ‘s dismissal came after the company raised domestic fuel prices by more than 30% in less than two months, angering Bolsonaro, whose constituency includes truck drivers who frequently complain about diesel prices. The incident sent investors out, with Brazil-listed preferred stock falling more than 20% in one day.

Castello Branco will be formally replaced in mid-April by Joaquim Silva e Luna, a retired general who previously managed the Itaipu hydroelectric dam on the Paraguay border and has no experience in the oil and gas sector.

Reporting by Gram Slattery, Sabrina Valle and Marta Nogueira; Additional reporting by Jamie McGeever in Brasilia; Written by Ana Mano; editing by Jonathan Oatis and Richard Pullin

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The Brazilian Petrobras Council approves the sale of the RLAM refinery | Instant News


FILE PHOTO: The logo of the Brazilian state-owned Petrobras oil company is seen at its headquarters in Rio de Janeiro, Brazil October 16, 2019. REUTERS / Sergio Moraes / File Photo

RIO DE JANEIRO (Reuters) – The board of Brazil’s state-owned oil company, Petroleo Brasileiro SA, has approved the sale of its RLAM refinery to Mubadala Capital Abu Dhabi for $ 1.65 billion, the company said on Wednesday, a win for its Chief Executive who will come out. Roberto Castello Branco.

The company is currently selling eight refineries in an effort to reduce debt. The company is also trying to break its own virtual refining monopoly in Brazil, which has proven to be a big problem as it is often under political pressure to lower domestic fuel prices.

Brazilian President Jair Bolsonaro fired Castello Branco in February after the company raised fuel prices several times. It is unclear whether the incoming administration at Petrobras, who will take office in April, will commit to selling downstream assets.

The sale of the refinery still has to be approved by the Administrative Council for Economic Defense of Brazil (CADE), the regulator, said Petrobras.

The company announced a principal sale in February, but its approval by the board – which in itself will undergo major changes in April – is a key step.

Reporting by Gabriel Stargardter and Gram Slattery; Edited by Chris Reese and Peter Cooney

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