Arab Today, arab today petrobras to divest more assets in 2016 as debt soars
Last Updated : GMT 12:19:12
Arab Today, arab today
Arab Today, arab today

President Aldemir Bendine:

Petrobras to divest more assets in 2016 as debt soars

Arab Today, arab today

Arab Today, arab today Petrobras to divest more assets in 2016 as debt soars

Petrobras President Aldemir Bendine (C)
Rio de Janeiro - Arab Today

Petrobras, the scandal-plagued Brazilian oil giant, plans to sell off more assets next year to offset rising debt that has soared to five times the company's value, its president Aldemir Bendine said Tuesday.

"Our biggest challenge is to reconfigure the company's debt," he said at a year-end news conference.

The state oil company's debt has shot up more than 40 percent this year in tandem with a sharp decline in the value of the Brazilian real against the dollar.

It now totals about 500 billion reals, or about $130 billion, while the company's market value hovers around 110 billion reals ($28.4 billion).

Bendine said Petrobras has managed to reduce its debt in dollars by five percent this year, but to cut it further "there is no other way but divestment," which he said "will undoubtedly be broadened" in 2016.

The company's plans call for the sale of $15.1 billion in non-essential assets by the end of 2016, but it has so far refrained from putting on the block its crown jewels -- the deepwater offshore oilfields found in what is called the pre-salt layer below the seabed.

The ballooning debt has come in a terrible year for Petrobras, battered by plummeting crude prices and a mega pay-to-play corruption scandal that has tarnished its once shiny image.

Moody's last week downgraded its debt rating for the third time this year to junk status, Ba3, leaving open the possibility of another downgrade.

It cited "worsening governability conditions and increased risk of policy paralysis."

Bendine said Petrobras has sufficient reserves to weather the market's ups and downs, and that its financial condition will strengthen in 2016.

But the company, which produces 2.1 million barrels of oil a day, faces huge, looming debt payments: more than 50 billion reals in 2016, 45 billion in 2017, more than 60 billion in 2018 and 90 billion in 2019.

The company had planned to invest $45 billion in 2015, but its capital spending has been cut back three times this year to $23 billion.

The company's 2015 earnings will not be released until February, but a company source said it was expected to be in the red.
Source: AFP

arabstoday
arabstoday

GMT 17:50 2017 Wednesday ,18 October

UK Brexit budget offer is 'peanuts'

GMT 07:18 2017 Monday ,09 October

takes eurozone farewell bow

GMT 15:08 2017 Sunday ,08 October

Deutsche Bank plots more moderate

GMT 16:07 2017 Saturday ,07 October

Saudi companies invest in liquefied gas

GMT 21:52 2017 Tuesday ,03 October

Saudi , Russia to set up $1bn energy fund

GMT 06:39 2017 Tuesday ,03 October

Equifax warned about vulnerability, didn't patch it

GMT 03:39 2017 Saturday ,30 September

Al Jawaheri economic improvement

GMT 04:54 2017 Tuesday ,26 September

OPEC to discuss extending cuts, quotas
Arab Today, arab today
Arab Today, arab today

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today petrobras to divest more assets in 2016 as debt soars Arab Today, arab today petrobras to divest more assets in 2016 as debt soars

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today petrobras to divest more assets in 2016 as debt soars Arab Today, arab today petrobras to divest more assets in 2016 as debt soars

 



Arab Today, arab today
Arab Today, arab today Designer Aql Faqih aspires to innovation

GMT 18:41 2017 Friday ,20 October

Designer Aql Faqih aspires to innovation
Arab Today, arab today Italy regions back 'big bang' autonomy

GMT 07:10 2017 Monday ,23 October

Italy regions back 'big bang' autonomy
Arab Today, arab today Etiquette expert underlines importance of gifts

GMT 17:52 2017 Sunday ,03 September

Etiquette expert underlines importance of gifts
Arab Today, arab today Syrian children die of hunger

GMT 19:25 2017 Sunday ,22 October

Syrian children die of hunger
Arab Today, arab today Maltese demand justice for murdered

GMT 06:08 2017 Monday ,23 October

Maltese demand justice for murdered
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today World's deepest lake in peril

GMT 15:54 2017 Friday ,20 October

World's deepest lake in peril
Arab Today, arab today Ex-French minister Dati wants tough action

GMT 10:54 2017 Thursday ,19 October

Ex-French minister Dati wants tough action
Arab Today, arab today Delhi braces for pollution 'airpocalypse'

GMT 16:07 2017 Friday ,20 October

Delhi braces for pollution 'airpocalypse'
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today Tesla to build wholly-owned plant

GMT 07:55 2017 Monday ,23 October

Tesla to build wholly-owned plant
Arab Today, arab today EU raids automaker BMW

GMT 11:06 2017 Saturday ,21 October

EU raids automaker BMW
Arab Today, arab today Rogina happy for reactions to “The Flood”

GMT 09:30 2017 Friday ,20 October

Rogina happy for reactions to “The Flood”
Arab Today, arab today Massacre fears spark race

GMT 19:09 2017 Thursday ,19 October

Massacre fears spark race

GMT 08:15 2017 Thursday ,19 October

Actress Mona Zaki praises husband’s role

GMT 18:15 2017 Monday ,16 October

British actress becomes fifth woman

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam

GMT 16:00 2017 Wednesday ,18 October

Climate-disrupting volcanoes helped topple

GMT 10:46 2017 Saturday ,05 August

Nanis reveals simple ideas for home renovation

GMT 06:07 2017 Sunday ,22 October

15,000 Under Fives Die

GMT 12:54 2017 Saturday ,21 October

Malaysia Airlines picks new CEO

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 20:46 2017 Thursday ,19 October

Qualcomm files lawsuits in China to ban iPhones

GMT 16:53 2017 Saturday ,02 September

Mai importance of gifts during Eid Al-Adha
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday