Lula Considers the President of BNDES for Petrobras and Dividend Payments to Shareholders

President Lula is considering appointing Aloizio Mercadante as the replacement for Jean Paul Prates at the helm of Petrobras


President Lula is considering appointing Aloizio Mercadante, currently the president of BNDES (National Bank for Economic and Social Development), as the replacement for Jean Paul Prates at the helm of Petrobras.

The President of the Brazilian Development Bank (BNDES), Aloizio Mercadante Oliva. (Photo by Daniel RAMALHO / AFP) - AFP

Prates has been involved in clashes with the government, with one of the most recent ones occurring last month—when he advocated for the distribution of 50% of extraordinary dividends and was defeated after the board chose to retain the funds.

Lula, who participated in the discussions at the time, is expected to reassess a possible payment. Prates' potential departure was mentioned again after an interview with the Minister of Mines and Energy, Alexandre Silveira, was published in Folha.

The minister acknowledged a conflict between his role and that of the president of Petrobras and blamed the Executive for the controversy over dividends.

Prates, on the other hand, requested a meeting with Lula to discuss the attacks against him. The two are not expected to meet this week, but there is a possibility of a meeting next week.

Lula is said to have been upset by tweets posted by Prates on the social media platform X in mid-March, stating that the instruction to retain Petrobras' extraordinary dividends came from the Lula government—further fueling the controversy surrounding the dividends.

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