Tuesday, 6 July 2010

Minister says there's a possibility of more stringent offshore drilling regulations

Brazil's Mines and Energy Minister, Marcio Zimmermann, has made an official statement saying that the spill in the Gulf of Mexico, has been a misfortunate accident, but one that has prompted Brazilian government to contemplate the possibility of imposing more stringent regulations in the country's offshore drilling sector.

Speaking to reporters, after an event at the World Expo, Zimmermann said that Brazil will be able to export around 20 million barrels of oil per year by 2019, and confirmed that the country has received $6-$7 billion of oil-for-loan deal from China in 2009.

In that same year, Petrobras received a $10 billion credit deal from China Development Bank, in exchange for a 10-year oil supply agreement with China Petroleum and Chemical Corp.

Chemical Corp has received 150,000 barrels of crude oil a day in the first year; the quantities are set to rise to 200,000 b/d in the next nine years. Petrobras plans to invest $118.8 billion in exploration and production in the next four years, with $30.9 billion designated for offshore oil development.

Source: Wall Street Journal

For more news and exert analysis about Brazil, please see Brazil Focus.

No comments:

Post a Comment