Petroleo Brasileiro S.A. - Petrobras (PBR)

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$PBR Petrobras' transfer of rights oil settlement OK'd by Brazil Senate

Brazil's Senate last night approved the amended transfer of rights agreement between Petrobras (PBR +4.6%) and the government, settling a dispute over pre-salt oil fields that still must pass the lower house to clear way the way for auctions later this year.

The federal government will pay the company $9B, while states and municipal governments will each get 15% of the ~$25B expected from the auctions.

Separately, PBR reports it produced 3M boe/day on average in August, including 2.2M boe/day from Brazil's pre-salt area.