By an OGJ Online Correspondent
RIO DE JANEIRO, Apr. 25 -- Petroleo Brasileiro SA (Petrobras) plans to invest $5.2 billion abroad over 5 years to expand its international division, Braspetro.
Jorge Camargo, Braspetro's president, said the company produces 74,000 b/d of crude and refines 29,000 b/d outside Brazil. The company's target is to increase crude production to 300,000 b/d and increase refining capacity to 260,000 b/d.
Last year, Braspetro posted net income of $198 million compared with net income of $22 million in 1999.
The increased profits stem from higher crude prices and also Braspetro's improved operating efficiencies, resulting in lower costs.
"In 1998, it cost us $3.71 to extract a barrel of crude; this figure decreased to $3.14 in 1999," said Camargo. The cost of refining a barrel of crude abroad also dropped from $1.98 in 1999 to 96¢ last year.
Braspetro will focus on areas where deepwater expertise is useful, such as South America, West Africa, and the US Gulf of Mexico.