Petrobras' involvement with China's Sinopec (SNP), Asia's largest refiner, is not
outside the normalcy for Petrobras. "We have already several joint ventures in
Brazil and outside Brazil," he said. The possibilities with Sinopec are outside
the Chinese loan, Gabrielli added.
Brazil Petrobras CEO: China Loan To Be Paid In Cash
Last Update: 5/21/2009 3:34:40 PM
NEW YORK (Dow Jones)--Brazil's Petroleo Brasileiro SA (PBR), or Petrobras, will
pay China's recently announced $10 billion loan in cash, not in pre-sales of oil,
the state-controlled oil company's chief executive officer said Thursday.
CEO Jose Sergio Gabrielli shied away from talking specifics about the loan, but
said the loan's interest rate is below comparable secondary-market loans.
The Chinese are considering a new credit line in renminbi but Gabrielli said he
couldn't comment on that. He also didn't deny that Petrobras is in talks with
other countries for new loans, saying the company is always in talks with
different entities but he would comment no further.
Gabrielli spoke moments before ringing the closing bell at the New York Stock
Exchange. He said he was pleased that the company had been able to raise $13
billion in five months amid the ongoing credit crisis.
"It is a very good year for Petrobras," he said.
Nevertheless, Petrobras is always on the lookout for attractive credit
opportunities, Gabrielli said. The company is fully funded this year and the
next, but it would take the right opportunity, he added.
Petrobras' involvement with China's Sinopec (SNP), Asia's largest refiner, is not
outside the normalcy for Petrobras. "We have already several joint ventures in
Brazil and outside Brazil," he said. The possibilities with Sinopec are outside
the Chinese loan, Gabrielli added.
-By Claudia Assis, Dow Jones Newswires; claudia.assis@dowjones.com; 201 938-4385
(END) Dow Jones Newswires
May 21, 2009 15:34 ET (19:34 GMT)
