Brazil, Russia sign oil, gas cooperation agreements

Peter Howard Wertheim
OGJ Correspondent

RIO DE JANEIRO, Dec. 29 -- During a visit to Brazil last month, Russia's President Vladimir Putin signed cooperation agreements with Brazil in the oil, natural gas, power, and renewable energy sectors that could lead to Russia's OAO Gazprom building a natural gas liquefaction plant in Brazil, Brazilian government sources told OGJ.

Brazil also signed agreements to exchange know-how on transmission lines, oil and gas pipelines monitoring systems, and waste-to-power.

Gazprom and the Brazilian Mines and Energy Ministry will meet in Russia in first half 2005 to discuss gas regulations, exploration, transport, and liquefaction processes.

Petróleo Brasileiro SA (Petrobras), Brazil's state-owned oil giant, signed a 2-year cooperation agreement with Russian companies Tise and Zarubezehnest whereby the companies will study development of joint projects including exploration and production operations, oil and gas transport, monitoring and stockpiling, and fuel distribution.

A Petrobras source told OGJ the parties discussed negotiating an accord of more than $3 billion between Petrobras and representatives of a Russian consortium that would also include construction of a refinery in Brazil with Russian equipment and technology.

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