Petrobras' Next CEO Already Working Inside Company
Petroleo Brasileiro SA's next CEO is already working within the Brazilian state-controlled oil firm and is talking with employees about business plans, four sources told Reuters.Roberto Castello Branco, named by president-elect Jair Bolsonaro's economic team to take the helm at Petrobras, is expected to take up the chief executive role next year pending approval by the company's board.However, the sources, who spoke on condition of anonymity…
Ex-Brazilian Finance Minister to Stand Trial in Petrobras Graft Case
A former Brazilian finance minister and chief of staff for successive Workers Party (PT) governments was ordered on Thursday to stand trial on corruption and money laundering charges in an expanding graft probe around state-run oil company Petrobras. Anti-corruption Judge Sergio Moro ruled that prosecutors had presented sufficient evidence to warrant a trial for Antonio Palocci, a party founder and confidant of two presidents, who was arrested in late September and has been jailed since.
Oil Workers Reject Petrobras Offer, Strike Possible
Brazil's largest oil workers' federation said Thursday its members voted overwhelmingly to reject a contract offer from Petroleo Brasileiro SA, or Petrobras, and were preparing for a possible strike. Leaders of the FUP union plan to continue talks with Petrobras starting at 2 p.m. (1700 GMT) in Rio de Janeiro and have not yet called on workers to walk off the job. In recent years, Petrobras has given wage increases well in excess of inflation…
Brazil's Temer Looking to Replace Vale CEO
Brazil's interim President Michel Temer plans to replace the head of the nation's largest miner, Vale SA, because he is too closely allied with suspended President Dilma Rousseff, newspaper Valor reported on Thursday. Valor said a decision has yet to be taken, and cited one source as saying that controlling shareholders had not yet discussed the issue. A government move to replace current Chief Executive Murilo Ferreira would be controversial as Vale…
Eletrobras' CEO Plans to Resign over Asset Sales
The chief executive of Brazil's state energy holding company Eletrobras SA, Jose da Costa Neto, has prepared a resignation letter over plans by the new government to sell off assets of the cash-strapped company, a source with knowledge of the situation said on Friday. Costa Neto, who was appointed by suspended President Dilma Rousseff, is opposed to interim President Michel Temer's plan to privatize assets including Eletrosul and Furnas, the source said.
Petrobras Tests Investor Sentiment with $6.75 Bln Bond Sale
State-controlled Petróleo Brasileiro SA raised $6.75 billion on Tuesday through a sale of five- and 10-year dollar-denominated bonds, in a closely watched return to global capital markets after the suspension of Brazilian President Dilma Rousseff. The bond sale is the first by any Brazilian company since last June and the first to test investor sentiment toward Brazil since Rousseff was removed from office last week to face an impeachment trial.
Vale, BHP hit with $44 bln Civil Lawsuit for Dam Collapse
Prosecutors seek $2.16 bln payment upfront; Vale, BHP say yet to receive notice of claim. Mining companies Vale SA and BHP Billiton were hit with a 155 billion-real ($43.5 billion) civil lawsuit for the collapse of a dam at a mine last year that killed 19 people and caused damage that prosecutors said was comparable to BP's oil spill in the Gulf of Mexico. The 359-page lawsuit brought by independent federal prosecutors…
Sembcorp Profit Halved as Clients Defer Projects
Revenue falls 30 pct; order book at S$9.7 billion. Singapore rig-builder Sembcorp Marine's quarterly profit halved as customers deferred projects, and it faces prolonged uncertainty on contracts from its biggest client, Sete Brasil, whose shareholders have approved its bankruptcy. Sembcorp Marine posted a profit of S$55 million ($41 million) for the three months ended March 31, compared with a profit of S$106 million a year ago.
Brazil Police Arrest Former Senator in Petrobras Investigation
Brazilian police arrested former senator Gim Argello and launched raids in three states on Tuesday as part of a massive corruption investigation centered at state-run oil firm Petrobras, federal prosecutors said. The 28th round of police raids in the so-called "Operation Car Wash" was based on evidence that Argello took bribes to ensure executives at major infrastructure companies would not be called to testify at a congressional committee in 2014, prosecutors said.
Petrobras Sees Layoff Plan Saving up to $9.2 Bln
Brazil's embattled state-run oil company Petroleo Brasileiro SA said on Friday it will launch a voluntary layoff program to cut an estimated 12,000 jobs in a bid to save up to 33 billion reais ($9.20 billion) by 2020. The program will cost 4.4 billion reais and is open to all employees, according to a statement from Petrobras, which has been hard hit by low oil prices, refinery project problems and a massive price-fixing, bribery and political kickback scandal.
Brazil's Rousseff Resumes Talks with Lula
Brazilian President Dilma Rousseff resumed talks on Wednesday morning with her predecessor Luiz Inacio Lula da Silva on him taking up a Cabinet post following inconclusive discussions late on Tuesday. Presidential aides said on Tuesday that Lula had decided to accept a ministerial position, a move that would also offer him protection in the short term from prosecutors who have charged him with money laundering and fraud.
Brazil Supreme Court Accepts Plea Deal for Rousseff Ally Amaral
Brazil's Supreme Court said on Tuesday it had accepted a plea agreement offered by prosecutors to Senator Delcídio do Amaral, a legislative ally of President Dilma Rousseff until he was arrested last year in a far-reaching corruption scandal. Leaks of the plea deal in recent weeks to Brazilian media said that Amaral, of the ruling Workers' Party, told prosecutors that both Rousseff and former president Luiz Inácio Lula da Silva had been aware of corruption at state-run energy company Petroleo Brasileiro SA.
Judge sends Lula Charges to Petrobras magistrate
Any decision to arrest Brazil's former President Luiz Inacio Lula da Silva will be made by Federal Judge Sergio Moro, who oversees a sweeping investigation into kickbacks at state-run oil firm Petrobras and approved the detention of dozens of senior executives, a judge in Sao Paulo ruled on Monday. State prosecutors in Sao Paulo asked for an arrest warrant for Lula last week after charging him with money laundering and identity fraud for concealing ownership of a beachfront condo…
Rousseff Denies Plea Bargain Reports
Brazil's President Dilma Rousseff on Friday denied details of a reported plea bargain by former ally Senator Delcidio Amaral, who purportedly tied her to a corruption scandal at state-run oil company Petroleo Brasileiro SA. Rousseff also used a news conference to repeat her disagreement with the questioning in police custody of her political mentor and predecessor, former President Luiz Inacio Lula da Silva, as part of the investigation. (Reporting by Brad Haynes; editing by Grant McCool)
Brazil's Petrobras Corruption Investigation Targets Lula
Federal prosecutors who uncovered a huge corruption scheme at oil company Petrobras are looking into whether Brazil's former president Luiz Inacio Lula da Silva received undue favors from engineering firms they are investigating. In a letter to the Supreme Court made public on Monday, the head of the investigation, Deltan Dallagnol, argued for a federal probe because some of the alleged gifts were made while Lula was still in office.
Chinese Loan to Petrobras may Clear most Debt
A Chinese loan of up to $10 billion to Brazil's Petrobras could pay nearly all its $12 billion in maturing obligations in 2016, easing pressure on the oil company as it struggles to fix its troubled finances by selling assets and slashing spending. The credit line to Petroleo Brasileiro SA, as state-run Petrobras is formally known, is from China Development Bank and was announced on Friday. It is for $5 billion to $10 billion and can be repaid in cash or oil at China's request…
Swiss Detain Brazilian in Petrobras Probe
Swiss authorities have arrested a Brazilian citizen linked to a criminal investigation into suspected bribes paid to former directors at Brazil's state-run oil company Petroleo Brasileiro SA, Swiss federal prosecutors said on Wednesday. Brazilian prosecutors said the Swiss had arrested Fernando Migliaccio da Silva, an executive with engineering group Odebrecht SA, one of the largest companies at the center of a price fixing and political kickback scandal.
Enseda Shipbuilding & Surviving the Petrobras Crisis
Enseada Shipbuilding was established to build deepwater drillships for Petrobras. Seventy percent of the company is owned by a consortium composed of Brazilian companies, Odebrecht (50 percent), OAS (25 percent), UTC (25 percent), with the remaining 30 percent belonging to Japanese shipbuilding giant, Kawasaki Heavy Industry (KHI). With all the Brazilian shareholders involved in the Car Wash “Lava Jato” operation…
Brazil Maintains Oil Price Formula for Petrobras Royalties
Brazil's President Dilma Rousseff approved a resolution to maintain the current system for establishing the minimum price of oil on which royalty payments are paid by state-run oil company Petroleo Brasileiro SA to local governments. The so-called "Brent Dated" index, based on a seven-day rolling average price for crude, will be used up to the price level of $50 a barrel, the National Energy Policy Council said in the official government gazette on Friday.
Brazil Bribe Investigation Widens
Brazil's top prosecutor has found evidence that a bribe scheme involving local engineering firms and the state oil company extended to pension funds and a workers' fund, benefiting the ruling Workers' Party and allies, newspaper Folha de S. Paulo reported on Friday. The paper said the potential new front in Brazil's largest-ever corruption investigation was based on a slew of text messages leaked to the local press on Thursday from Leo Pinheiro, the convicted former head of engineering firm OAS.
