Opinion: New Petrobras, According to Bendine

04/24/2015 - 09h31

Reducing debt is a top priority for Petrobras. The company owned the equivalent of 4.8 times its "profit" at the end of 2014. In 2010, this indebtedness measure was equivalent to 1 time that, and should go to a dangerous 6 in 2016, according to private analysts of the oil company. The company's board of directors will work to lower this critical indicator of financial health to 3, in five years.

It is not a formal goal, as Aldemir Bendine, the current president of the company explains, but a work plan for a "normal operation" of the new Petrobras, without the "anxiety" and the dramatic episodes that preceded the publication of the much delayed 2014 balance (the first quarter balance sheet is released between the first 15 and 20 days of the year). Heroic measures are not predicted, but instead figures that illustrate the "work of ants."

There shouldn't be huge inflows of new money so early ("this year is equated"), but Petrobras already counts on a number of funding opportunities that would allow the company to exchange the old debt for a new one with lower costs and interest rates ("we've had 40 " different offers). The company will, of course, capture the domestic market, but always backed by money from outside.

The domestic price for the sale of derivatives should be at a good level, at around 20% above the world market, according to internal company estimates. Petrobras would now have "freedom of pricing," which would be reconsidered in the "scope of 180 days," to dampen the volatility of barrel prices and exchange rates.

The plan of "disinvestment" and the sale of assets, is what has already been announced: US$ 13.7 billion by 2016: small thermoelectric power plants, derivative sales business, oil well production in decline. Selling ​​the company at BR Distribuidora or at the petrochemical company Braskem is a subject that is not even on the drawing board, because prices are too low.

The company can make more money, however, Bendine states it cannot, due to "synergies that are not being exploited in many assets."

Reducing the cost and investment is, of course, a means of containing the need for financing. What will the company do about the national content policy (buying equipment that is at least two-thirds produced in the country), which are generally more expensive? Might Petrobras be required to have 30% of each pre-salt venture? "Depending on the season, each model has advantages and disadvantages. There are laws and regulations," Bendine says diplomatically, but "there is the understanding" that the company won't be required to do so in certain businesses, "if the books do not allow it."

"Given the reality of the market" (oil and equipment prices in the low around the world, as well as problems with domestic suppliers), "compliance isn't possible" with certain regulations. Moreover, this question wouldn't be so urgent.

The company does not yet need to acquire equipment and there shouldn't be auctions for the right to pre-salt exploration. Moreover, given the current pre-salt productivity, equipment is "spared". Still, the long-term plan should call for "discussions" to bring about changes with regulators about the company's public policy.

Translated by CRISTIANE COSTA LIMA

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