Petrobras will need to raise net $4.3 billion per year to fund investments -CFO
RIO DE JANEIRO -- Brazilian state-run oil company Petroleo Brasileiro, or Petrobras, expects to raise a net $4.3 billion in global capital markets each year to fund its investment plan over the next five years, Chief Financial Officer Almir Barbassa said Tuesday.
Speaking during a presentation to analysts, Mr. Barbassa said increased crude oil production during the 2013-2017 period covering the investment plan had allowed Petrobras to reduce its net financing needs by 50% compared with the 2012-2016 investment plan. Petrobras also expects to raise about $9.9 billion from divestments as part of the plan, Mr. Barbassa said.
Petrobras plans to invest $236.7 billion to develop massive offshore oil fields recently discovered off Brazil's coast, virtually the same level as last year's investment plan. Crude oil production is expected to reach 2.75 MMbbl/day by 2017, according to the company.
Gross debt needs are expected to be about $12.3 billion annually over the next five years, Mr. Barbassa added.
Dow Jones Newswires