PETROBRAS AT A GLANCE




                      Pre-Salt Reservoir




                         November, 2009
1
DISCLAIMER



    The presentation may contain forecasts            CAUTIONARY STATEMENT
    about future events. Such for...
PETROBRAS: AN INVESTMENT GRADE, PUBLICLY
TRADED, MAJOR INTERNATIONAL OIL COMPANY


           Incorporated in 1953 as gove...
DIVERSIFIED SHAREHOLDER BASE

 60% of the economic value of Petrobras in private hands, but Government maintains control w...
PETROBRAS IS THE MOST LIQUID STOCK IN VALUE
TRADED ON BOTH THE BOVESPA AND NYSE


                                        ...
CORPORATE ORGANIZATION AND KEY
OPERATING RESULTS




Exploration &                      Downstream                        ...
A WORLD-CLASS, PUBLIC, INTEGRATED
ENERGY COMPANY
                                                                  2008 Oi...
DOMESTIC E&P PROFILE



              2008 Production                                2008 Proven Reserves (SPE)


        ...
COMPETITIVE ADVANTAGE IN THE
DEEPWATER

                                              Petrobras operates 22% of global dee...
DOMESTIC PROVEN RESERVES PROFILE


                              Proven Reserves as of Dec/2008 (SPE)
                    ...
ENHANCING RESERVES



                 Santos Pre-Salt announced recoverable volumes including the
                 transf...
IMPRESSIVE RECORD OF
ACCELERATING DEVELOPMENT


                           2.000.000



                            1.800....
INDUSTRY-LEADING PRODUCTION GROWTH


                                                                        CAGR (2004-20...
STRATEGIC VISION: TO BE ONE OF THE WORLD’S
FIVE LARGEST PUBLICLY TRADED OIL PRODUCERS


                              30,0...
BRAZILIAN ECONOMY IS GROWING WITH
STABILITY AND FISCAL RESPONSIBILITY
                                              GDP Gr...
INCREASING INVESTMENTS WITH CAREFULLY
CRAFTED SPENDING PROGRAM

                            Business Plan 2009-2013
      ...
PEERS CAPEX




                                Capex by segment
                                 (3Q09 vs. 3Q08)




    ...
PETROBRAS RESEARCH CENTER: TECHNOLOGICAL
INNOVATION FOR THE NEXT DECADES


                                    Partnership...
UPSTREAM




19              19
CONSISTENTLY DELIVERING RESERVES
GROWTH

      Maintained a ~120% reserve
                                                ...
PURSUING NEW PROJECTS WHILE MAXIMIZING
PRODUCTION FROM EXISTING ASSETS


                                   Petrobras Tota...
ESTIMATED OIL PRODUCTION IN BRAZIL


      Out of the 824 kb/d in                     The biggest                         ...
ROBUST PROJECT PIPELINE: 2010-2013


                                      CANAPU
                        MANATI
         ...
RESERVES IN ULTRA-DEEP WATER CAN BE
DEVELOPED AT A RELATIVELY LOW COST


                                                 ...
LIFTING COSTS STABLE, IN SPITE OF
HIGHER OIL PRICES

                         R$/barrel                                   ...
DISTRIBUTION OF UPSTREAM REVENUES


                                                  Distribution of the Realization Pric...
NEW PRODUCTION UNITS

          Project              Start up   Type   Oil and Gas Capacity     Shipyard        Leased

  ...
NEW TECHNOLOGIES TO INCREASE
RECOVERY FACTOR
                                                          Vertical Annular Se...
EXPLORING TO LEVERAGE EXCITING
FRONTIER PLAYS IN OUR OWN BACKYARD

      Exploration
        Capex
       US$ mm
         ...
MAIN DISCOVERIES IN THE POST-SALT REGION *




 Date             Field             Participation            Fluids       W...
EXPLORATION PORTFOLIO AT DIFFERENT
STAGES OF DEVELOPMENT



                                Margem Equatorial   Brazil
   ...
INCREASE IN THE NUMBER OF FIELDS ANDS
BLOCKS HELD WITH PARTNERS


     Petrobras’ current domestic production comes mainly...
PRE-SALT OVERVIEW




33                       33
PRE-SALT JOINT VENTURES

                                •        Total Area: 149,000 km2
                                ...
BRAZILIAN SE BASINS IN COMPARISON WITH
GULF OF MEXICO




       USA




 35                                 t
PRE-SALT ACTIVITIES ACCELERATING, REAFIRMING
POTENTIAL AND INCREASING UNDERSTANDING

                                     ...
INVESTMENT PROGRAM FORECAST

 Total Investments of US$ 104.6 billion in           Investment (Program %)
E&P through 2013,...
DEVELOPMENT STRATEGY (example: TUPI)


               1st Oil – EWT           1st Oil – Tupi                              ...
PRE-SALT ACCOMPLISHMENTS TIMELINE

     2008         Phase 0          2013       Phase 1A         2017              Phase ...
MAJOR TECHNOLOGICAL DEVELOPMENTS
UNDER EVALUATION

                   PLANSAL - Pre-Salt Development Master Plan

        ...
ESPÍRITO SANTO PRE SALT


                 n to                             UTG Cacimbas                                In...
PRE-SALT OIL PRODUCTION



                                        Petrobras Pre-salt Oil Production (000 b/d)
           ...
E&P REGULATORY FRAMEWORK
            Pre-Salt and Strategic Areas




43                                         43
NEW REGULATORY MODEL


     Production                                                 Transfer
      Sharing             ...
PRODUCTION SHARING AGREEMENTS

                                 Production sharing agreements
     Petrobras will operate ...
E&P TRANSFER OF RIGHTS
WITH COMPENSATION

     Government may transfer to Petrobras, for compensation, without bidding, th...
TRANSFER OF RIGHTS APPRAISAL

                  Appraisal need to consider


                   Production              Ca...
PETROBRAS’ CAPITALIZATION

 The value of capitalization could be:
  • Minimum: the same value of the transfer of rights wi...
EQUIPMENT AND SERVICES




49
USING CONTRACTS AND LEASES TO SECURE
NEEDED DRILLING ASSETS

       Water Depth              2008              2009       ...
COMPETITIVE NATIONAL SUPPLY OF GOODS
AND SERVICES

Adequacy of The National Supply Industrial Complex
      GOOD AND SERVI...
NEW EQUIPMENT TO BE CONTRACTED


               Items      Un.       TOTAL                  Items                Un.      ...
LONG TERM HR CHALLENGES

               2007      2008          2009   2010   2011   2012     2013     2014   2015   2016
...
DOWNSTREAM




54                54
DOMINANT POSITION IN A LARGE AND
GROWING EMERGING MARKET
         2008 Total Oil Consumption by Country (mmbo/d)
        1...
VERTICALLY INTEGRATED SYSTEM TO
CAPTURE SYNERGIES WITHIN THE VALUE CHAIN

Upstream Operations                   Downstream...
ADDRESSING THE NEED TO INCREASE
THROUGHPUT CAPACITY AND COMPLEXITY
      Average Refinery Throughput Capacity (000 b/d)


...
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)
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22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)

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22 08-2008 Maria Isabe M. Gomes Ramo e Eduardo Alessandro Molinari - Petrobras at a glance no Guarujá-sp (somente em inglês)

  1. 1. PETROBRAS AT A GLANCE Pre-Salt Reservoir November, 2009 1
  2. 2. DISCLAIMER The presentation may contain forecasts CAUTIONARY STATEMENT about future events. Such forecasts merely FOR US INVESTORS reflect the expectations of the Company's management. Such terms as "anticipate", The United States Securities and Exchange "believe", "expect", "forecast", "intend", Commission permits oil and gas companies, "plan", "project", "seek", "should", along with in their filings with the SEC, to disclose only similar or analogous expressions, are used proved reserves that a company has to identify such forecasts. These predictions demonstrated by actual production or evidently involve risks and uncertainties, whether foreseen or not by the Company. conclusive formation tests to be Therefore, the future results of operations economically and legally producible under may differ from current expectations, and existing economic and operating conditions. readers must not base their expectations We use certain terms in this exclusively on the information presented presentation, such as oil and gas herein. The Company is not obliged to resources, that the SEC’s guidelines update the presentation/such forecasts strictly prohibit us from including in in light of new information or future filings with the SEC. developments. 2
  3. 3. PETROBRAS: AN INVESTMENT GRADE, PUBLICLY TRADED, MAJOR INTERNATIONAL OIL COMPANY Incorporated in 1953 as government Government maintains controlling monopoly for all hydrocarbon activities interest with 55% of voting shares in Brazil Originally established as a refinery of Market cap of approximately US$ 216 imported crude oil billion as of November 17, 2009 Became net exporter in 2006 Foreign currency ratings from Moody’s 60% of total equity capital (common and (Baa1), Standard & Poors (BBB-), and preferred) is now publicly traded Fitch (BBB). Crossed the Brazil Self 2MM bpd, A New E&P Brazilian First Public Petrobras Full Upgraded to $100 billion Sufficient in $200MM market Regulatory Constitution Auction of Oil NYSE Listing Deregulation Investment dollar Market Oil cap, Discovery Framework. Amended Exploration Grade Issuer Cap mark of new oil Pre-Salt and Areas frontier: Pre Strategic Salt (Tupi field) Areas Nov 1995 June 1999 Aug 2000 Jan 2002 Oct 2005 2006 Apr 2006 2007 Aug 2009 3
  4. 4. DIVERSIFIED SHAREHOLDER BASE 60% of the economic value of Petrobras in private hands, but Government maintains control with 55% of voting shares More than 1,00,000 investors in Brazil and abroad 9 ,5 % 2 0 ,3 % 2 6 ,4 % Foreign 10 ,9 % 3 1,2 % 2 9 ,5 % 4 6 ,4 % 10 ,3 % 37,4% 18 ,0 % 9 ,9 % 8 ,0 % 7 ,9 % Bovespa 2 5 ,1% 2 3 ,1% 2 0 ,7 % 2 2 ,8 % 30,7% 53,6% 61,6% 44,4% 40,6% 40,1% 39,8% Oct/1992 Jul/2000 After Aug/00 After Jul/01 Dec/2003 Nov /2009 offering offering Gov ernment (1) Bov espa Brazil Bov espa Foreign ADRs Free Float 46.4 38.4 55.6 59.4 59.9 60.2 (1) Includes BNDES / BNDESPAR 4
  5. 5. PETROBRAS IS THE MOST LIQUID STOCK IN VALUE TRADED ON BOTH THE BOVESPA AND NYSE Turnover NYSE & Bovespa (Daily Average Turnover) Turnover 2009YTD/2005 = 512% (US$ MM) (% category and US$MM) 2000 1,930 1800 100% 90% 1600 80% 43% 43% 1400 1,344 47% 50% 53% 70% 1200 Nyse PBR 992 60% PBR/A 1000 Nyse 50% PBR 20% 800 25% 21% PBR/A 40% 20% 19% 600 6% 483 30% 6% 5% 5% 5% Bovespa 400 20% 219 Bovespa PETR3 31% PETR3 25% 27% 26% PETR4 200 PETR4 10% 22% 0 0% 2005 2006 2007 2008 2009 YTD 2005 2006 2007 2008 2009 YTD PETR4 (Bovespa) PETR3 (Bovespa) PBR/A (Nyse) PBR (Nyse) Turnover of PBR 3 times the volume of PBRA on the NYSE Turnover of PN 5 times the volume of the ON Probable explanation: Cultural. Brazilians familiar with PN´s and would not pay premium for ON´s 5
  6. 6. CORPORATE ORGANIZATION AND KEY OPERATING RESULTS Exploration & Downstream Gas & Production Distribution Energy International Biofuels (Supply) Petrochemicals Income from Operations Summary Financials G&E Distribution (US$ billion- USGAAP) 2007 2008 1H09 2,7% 2,9% Net Revenues 87.7 118.3 39.8 EBITDA 25.6 31.3 13.6 Domestic 41,8% Net Income 13.1 18.9 6.6 Downstream 52,6% E&P Capex 21.0 29.9 14.3 Total Debt(1) 21.9 27.4 34.6 Cash & Cash Equivalents 7.0 6.5 4.9 Net Debt 14.9 20.9 29.8 Total Equity 65.2 61.9 79.2 Total Assets 129.7 125.7 157.4 (1) Includes capital leases 6
  7. 7. A WORLD-CLASS, PUBLIC, INTEGRATED ENERGY COMPANY 2008 Oil & Gas Production 3.9 3.8 Gas Production boe/d 3.2 Oil Production boe/d 2.5 (mmboe/d) 2.4 2.4 2.3 1.8 83% (oil) 0.6 XOM BP RDS CVX PBR COP Total ENI BG Source: Evaluate Energy and Company reports 5,675 2008 Refining Capacity Market Value as of November 17, 2009 356 3,905 (mcb/d) 3,119 2,917 (US$ bn) 2,600 216 2,223 2,083 192 186 158 149 828 104 83 80 299 XOM RDS BP COP TOT PBR CVX ENI STL X OM P BR RDS BP CV X T OT E NI ST L C OP Source: PFC Energy WRMS (barrels per calendar day, considering company % shareholding and including JVs) Source: Bloomberg 7 Note: Peer companies selected above have a majority of capital traded in the public markets.
  8. 8. DOMESTIC E&P PROFILE 2008 Production 2008 Proven Reserves (SPE) 15% 9% 10% 14% 13% 23% 58% 58% 2,176 thousand boed 14.09 billion boe Onshore Shallow water (0-300m) Deep water (300-1500m) Ultra-deep water (> 1500m) 8 Source: Petrobras
  9. 9. COMPETITIVE ADVANTAGE IN THE DEEPWATER Petrobras operates 22% of global deepwater production and 18% of all operating vessels 2008 Gross Global Operated FPS Operators Deepwater Production All Contracted Vessels (252 Vessels Total) REL HES MUR HES REL MUR 1% 1% 0 20 40 60 80 100 120 2% 1% 2% 1% BG Petrobras 45 APC 4% PBR Shell 15 5% 22% StatoilHydro 15 CVX ExxonMobil 13 6% BP 12 APC TOT 6% Chevron 12 8% Anadarko 10 XOM 14% Total 9 CNOOC 8 BP 9% ConocoPhillips 8 XOM ENI/Agip 5 STL RDS Others 100 14% 14% FPSO Semi Spar TLP Other Source: (1) PFC Energy | Note: Estimated volumes above reflect what operators are responsible for producing, not what they keep on a net working 9 interest or entitlement basis. Minimum water depth is 300 meters; twelve operators above account for 94% of global deepwater production in 2008. (2) Copyright © 2008 ODS-Petrodata, Inc.
  10. 10. DOMESTIC PROVEN RESERVES PROFILE Proven Reserves as of Dec/2008 (SPE) (14.09 billion boe) Oil + Condensate < 22º API 22º 85% (heavy) 22 – 31 º API 10% 5% 50% (intermediate) 29% 15% 6% Associated Gas Non-Associated Gas Gas > 31 º API (light) 45% Undeveloped 55% Proven Reserves Developed Proven Reserves 10 Source: Petrobras
  11. 11. ENHANCING RESERVES Santos Pre-Salt announced recoverable volumes including the transfer of rights, can more than double Brazilian reserves. million boe ~ 30-35 bn boe 35,000 +5,000 30,000 Higher estimates 25,000 +5,400 20,000 Lower estimates 10,600 15,000 10,000 5,000 14,093 0 2008 Proven Santos and Campos Basins Transfer of Proven Reserves* Reserves* Pre-Salt Rights with + (Tupi, Iara, Guará and Whale’s Compensation Santos and Campos Basins Park)** Pre-Salt (Tupi, Iara, Guará and Whale’s Park)** *SPE Criteria + Transfer of Right ** include Petrobras and Partners 11
  12. 12. IMPRESSIVE RECORD OF ACCELERATING DEVELOPMENT 2.000.000 1.800.00 16 anos 54 anos 1.600.00 Production (bpd) 22 anos 1.200.00 1.000.00 27 anos 12 anos 45 anos 800.00 400.00 0 1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35 37 39 41 43 45 47 49 51 53 55 Numbers of Years Production since Discovery of giant fields in Campos Discovery of Garoupa in Discovery of the Pre-Salt, incorporation of Petrobras basin including Albacora/Marlim the Campos basin (1974) since Parati (2006) (1953) (80´s & 90’s) 12
  13. 13. INDUSTRY-LEADING PRODUCTION GROWTH CAGR (2004-2008) - % 7,75 5,33 4,40 4,38 2,48 1,36 -1,02 -1,79 -2,57 -3,71 -3,78 ExxonMobil Chevron Repsol YPF BP PetroChina Lukoil Total RD Shell ConocoPhillips Petrobras ENI Petrobras Oil and Gas Production (000 boe/d) 2,400 2,297 2,301 2,217 4.4% CAGR 2,020 2004 2005 2006 2007 2008 Source: Evaluate Energy (2004-2008 CAGR) 13
  14. 14. STRATEGIC VISION: TO BE ONE OF THE WORLD’S FIVE LARGEST PUBLICLY TRADED OIL PRODUCERS 30,000 Production Target: 2020 25,000 R es erves (m m boe) Production Target: 2013 XO M 20,000 BP Production 15,000 Target: 2009 PBR 10,000 CVX R DS TO T C OP 5,000 2,000 2,500 3,000 3,500 4,000 4,500 5,000 5,500 6,000 2007 (SEC) reserves and production P roduc tion (m boe /d) 14
  15. 15. BRAZILIAN ECONOMY IS GROWING WITH STABILITY AND FISCAL RESPONSIBILITY GDP Growth (%) Trade Balance (US$ Billion) 250.0 Exports Imports Forecast 6 5.7 5.7 Forecast 5.1 198 5 4.7 200.0 173 170 4.0 161 155 155 GDP Growth (%) 4 150.0 138 3.2 130 119 121 3 97 91 100.0 73 74 2 63 1.2 48 50.0 1 0.2 0 0.0 2003 2004 2005 2006 2007 2008 2009 2010 2003 2004 2005 2006 2007 2008 2009 2010 International Reserves (US$ billion) Brazilian Debt (as % of GDP) Nominal Fiscal Deficit/GDP (%) 2008 2009 20 60 53,5 Nominal Debt/GDP (%) 250,0 Net Debt/GDP (%) Net Debt/GDP (%) 212 48,2 48,0 45,9 43,9 50 207 15 44,0 200,0 180 38,8 40 150,0 10 30 4,7 3,9 20 100,0 86 5 2,8 3,4 3,5 49 53 54 2,8 10 50,0 2,0 0 0 2003 2004 2005 2006 2007 2008 ago/09 0,0 dez abr mai jul abr mai jul mar ago mar jan jun jan jun out set nov fev fev 2003 2004 2005 2006 2007 15 Source: Brazilian Central Bank
  16. 16. INCREASING INVESTMENTS WITH CAREFULLY CRAFTED SPENDING PROGRAM Business Plan 2009-2013 PN 2009-13 | Brazil/International 2% 2% 2% 3% US$ 174.4 billion 9% 7% 5.6 3.0 E&P 16.2 US$ 174.4 billion 11.8 2.8 RTC 3.2 Brazil G&E International Petrochemicals 158.2 43.4 104.6 (*) Distribution 25% 59% Biofuels 91% Corporate (*) US$ 17.0 billion allocated to Exploration Business Plan 2008-12 2% 1% 2% 4% US$ 112.4 billion 6% 4.3 2.6 • Petrobras strategy gives first priority to 6.7 1.5 E&P RTC meeting production targets 2.5 G&E Petrochemicals • E&P accounts for 76% of new project 26% 29.6 65.1 Distribution 59% spending (US$ 28.9 bn for pre-salt) Biofuels Corporate 16
  17. 17. PEERS CAPEX Capex by segment (3Q09 vs. 3Q08) Source: Evaluate Energy Chemicals Others 17
  18. 18. PETROBRAS RESEARCH CENTER: TECHNOLOGICAL INNOVATION FOR THE NEXT DECADES Partnership with over 120 universities and research centers in Brazil, and 70 Institutions abroad. Technological Strategy Expanding Limits Investments in Technology 2009-2013 Medium Offshore Pre-Salt Distillates Natural Gas US$ 4.0 billion Ultra-deep Maximization Transportation Novas Advanced Water 25% fronteiras Recuperation Exploratórias Sustainability 1.0 1.9 47% Enhance Product Mix 5% 0.2 0.9 23% E&P Downstream Biomass 2nd Generation CO2 Water Refining Biofuels Energy Management Management Efficiency G&E Corp. (Cenpes) 18
  19. 19. UPSTREAM 19 19
  20. 20. CONSISTENTLY DELIVERING RESERVES GROWTH Maintained a ~120% reserve Targeting a reserves to replacement rate in 2008. Over the production life of 15 years past decade, reserve replacement has principally been driven by internal additions in Brazil 13.75 13.92 14.09 13.02 13.23 0,92 1,23 0,88 0,88 Production Production Production Production (0.67 bn boe) (0.70 bn boe) (0.70 bn boe) (0.75 bn boe) Reserves Reserves Reserves Reserves Replacement 12,35 Replacement 12,52 Replacement 13,04 Replacement 13,17 Index Index Index Index (131%) (174%) (124%) (123%) 2004 2005 2006 2007 2008 20 * According to SPE (Society of Petroleum Engineers) criteria
  21. 21. PURSUING NEW PROJECTS WHILE MAXIMIZING PRODUCTION FROM EXISTING ASSETS Petrobras Total Production (x 1000 boe/d) 5,729 223 7.5% p.y. 409 1.177 3,655 5.6% p.y. 8.8% p.y. 131 2,758 210 634 2,400 103 2,217 2,297 2,301 142 1,810 2,037 2,020 101 110 100 1,635 96 124 463 22 85 94 142 126 24 163 321 35 161 168 277 273 3.920 44 274 252 251 265 232 2.680 1.855 2.050* 1.684 1.778 1.792 1.500 1.540 1.493 1.335 2001 2002 2003 2004 2005 2006 2007 2008 2009 ..... 2013 ..... 2020 Oil production - Brazil Gas production - Brazil Oil production - International Gas production - International * Consider +- 2,5% 21
  22. 22. ESTIMATED OIL PRODUCTION IN BRAZIL Out of the 824 kb/d in The biggest The PN 2008-2012 Brazil domestic production contribution in the oil target for 2015 was growth through 2013, 566 domestic production 2,812 k b/d. The new kb/d will come from fields growth of 1,240 kb/d target represents an where we have already between 2013 and increase of 19% (+528 declared commerciality 2020 will come from kb/d) pre salt production Petrobras Total Production (000 b/d) 3,920 3,340 2,680 2,050 1,855 2008 2009 2013 2015 2020 Light Oil ≥ 31º API Medium Oil Heavy Oil ≤ 22º API 22
  23. 23. ROBUST PROJECT PIPELINE: 2010-2013 CANAPU MANATI expansion URUGUÁ JURUÁ TAMBAÚ ARACANGA LAGOSTA 3.32 MEXILHÃO 3.20 Oil and gas CAMARUPIM 3.02 URUCU 2.79 million boe/d 2.68 2.51 2.58 Oil 2.43 P-62 2.25 RONCADOR 2.05 P55 RONCADOR P-57 BALEIA AZUL JUBARTE P-61 JABUTI PAPA-TERRA TUPI P-56 MARLIM SUL P-63 EWT Tupi Pilot PAPA-TERRA P-51 CACHALOTE. MARLIM SUL BALEIA FRANCA, GUARÁ 1 BALEIA ANÃ FRADE TUPI 1 PARQUE DAS Pilot Expansion CONCHAS 2009 2010 2011 2012 2013 Pre-salt Heavy oil Natural Gas 23
  24. 24. RESERVES IN ULTRA-DEEP WATER CAN BE DEVELOPED AT A RELATIVELY LOW COST Expected Costs of Production 140 Deepwater and Production costs (US$/bbl-2008) 120 Ultra-deep water 100 Oil Gas to Coal to 80 Shales liquids liquids Arctic CO₂ - EOR 60 EOR Heavy oil and bitumen 40 Other 20 Produced convention Petrobras expected MENA al oil maximum break-even cost 0 1000 2000 3000 4000 5000 6000 7000 8000 9000 10000 Reserves (bn bbls) 24 Source: IEA – Outlook 2008
  25. 25. LIFTING COSTS STABLE, IN SPITE OF HIGHER OIL PRICES R$/barrel US$/barrel 114.78 68.28 54.40 54.91 58.79 41.62 44.40 41.48 38.86 36.79 34.24 22.39 16.33 21.28 24.78 30.27 18.11 19.50 22.86 20.06 14.69 13.84 17.61 19.09 17.91 17.58 16.84 9.87 6.87 10.78 10.21 8.24 7.82 8.72 9.02 3Q08 4Q08 1Q09 2Q09 3Q09 3Q08 4Q08 1Q09 2Q09 3Q09 Lifting Cost Gov. Take Lifting Cost Gov. Take Brent • Lower lifting costs without government take, in Reais, despite increase in international oil prices • In Dollars, the increase was due to FX rate appreciation • Increase in the government take due to higher international oil prices and increase in tax rates applied to certain fields, especially Marlim Sul e Marlim Leste 25
  26. 26. DISTRIBUTION OF UPSTREAM REVENUES Distribution of the Realization Price of a Barrel of Domestically Produced Oil $85,00 $75,00 95,0% $ per Barrel Realization Price % Share of Realization Price $65,00 75,0% $55,00 $45,00 55,0% $35,00 35,0% $25,00 $15,00 15,0% $5,00 2005 2006 2007 2008 1H09 2005 2006 2007 2008 1H09 $(5,00) -5,0% Lifting Other COGS DD&A Income Tax Other SG&A Net Income R&D Exploratory Costs Government Take 26
  27. 27. NEW PRODUCTION UNITS Project Start up Type Oil and Gas Capacity Shipyard Leased Uruguá-Tambaú 25,000 bpd 1Q/10 FPSO Modec Cidade de Santos 10.0 MM m3/d Mexilhão 2Q/10 Fix 15 MM m3/d Mauá Jurong Cachalote/Baleia Franca 100,000 bpd 2Q/10 FPSO SBM FPSO Capixaba 3.2 MM m3/d Tupi Pilot 100,000 bpd 4Q/10 FPSO Cosco (China) Modec Cidade de Angra dos Reis 5.0 MM m3/d Marlim Sul Mod. 3 - P-56 (P- 100,000 bpd Brasfels-Keppel 2H/11 SS 51 Clone) 6.0 MM m3/d Angra 180,000 bpd Jubarte Mod. 2 - P-57 2H/11 FPSO SBM Cingapura 2.0 MM m3/d 100,000 bpd Papa Terra - P-61 2H/13 TLWP Bid in progress 1.0 MM m3/d 150,000 bpd Papa Terra - P-63 2H/13 FPSO Bid in progress 1.0 MM m3/d 120,000 bpd Guará Pilot 2H/13 FPSO Bid in progress 5.0 MM m3/d Atlântico Sul 180,000 bpd Roncador Mod 3 - P-55 2H/13 SS (Suape) and Rio 6.0 MM m3/d Grande 27
  28. 28. NEW TECHNOLOGIES TO INCREASE RECOVERY FACTOR Vertical Annular Separation and ESP in a skid on the sea-bed Pumping System 4D Seismic (Espadarte-Fase III) (Marlim; Marlim Sul; (Congro; Malhado; Corvina) (Parque dos Albacora) VASPS Temperos; ) Bonito CAISSON 2011 2009 2010 2012 Oil Water Subsea Christmas Subsea Tree. Separation “Piggy-back” (Marlim) (Marimbá; Barracuda) TLWP (Papa-terra) SBMS - Subsea RWI – Raw Multiphase Pumping Water Injection Multifractured Well System (Albacora) (Bonito) (Marlim) 28
  29. 29. EXPLORING TO LEVERAGE EXCITING FRONTIER PLAYS IN OUR OWN BACKYARD Exploration Capex US$ mm 70% 2.750 Success Rate 2.500 60% 2.250 50% 2.000 1.750 40% 1.500 1.250 30% 1.000 20% 750 500 10% 250 0 0% 2002 2003 2004 2005 2006 2007 2008 2009-2013 29
  30. 30. MAIN DISCOVERIES IN THE POST-SALT REGION * Date Field Participation Fluids Water Depth (m) Nov-2009 Rig Fence Light Oil 400 BR(100%) Marimbá Aug-2009 BM-C-36 BR (100%) Light Oil 976 Aruanã May-2009 BM-S-48 BR(35%), Repsol(40%), N. Gas and 161 Panoramix Vale(12,5%),Voodside(12,5%) Condensate Marimbá BM-J-3 Aruanã Nov-2008 BR (60%), STATOIL (40%) Oil 2,354 (BM-C-36) Jequitinhonha Sep-2008 BM-S-40/Sidon BR (100%) Light Oil 274 Jul-2008 Golfinho BR (100%) Light Oil 1,374 May-2008 BM-S-40/Tiro BR (100%) Light Oil 235 Dec-2007 BM-ES-5/ BR (65%), EL PASO (35%) N. Gas and 708 Camarupim Condensate May-2007 BM-ES-5/ BR (65%), EL PASO (35%) N. Gas and 763 Camarupim Condensate Mar-2007 BC-60/Caxaréu BR (100%) Light Oil 1,011 30 * 2007 to 2009
  31. 31. EXPLORATION PORTFOLIO AT DIFFERENT STAGES OF DEVELOPMENT Margem Equatorial Brazil Ceara & Potiguar Exploration: 2009-13 US$ Solimões 13.8 bn Potiguar Exploratory Area: 155.0 thousand SEAL& REC & TUC km² Bahia Sul 265 exploratory São Francisco blocks Espírito Santo 35 appraisal plans Campos Petrobras Santos 313 production Others concessions Pelotas 31
  32. 32. INCREASE IN THE NUMBER OF FIELDS ANDS BLOCKS HELD WITH PARTNERS Petrobras’ current domestic production comes mainly from concessions (97%) owned by the company alone For the areas under development, the percentage of concession held without partners falls to 62% More than half (53%) of the blocks under exploration or appraisal are joint ventures Concessions Under Production Production Development Exploration + Evaluation (247) Concessions (66) Concessions (54) 97% 53% 38% 62% 47% 3% Petrobras (100%) Petrobras in Partnerships 34 Oil and Gas Companies (2008) 32 SINN, July 2009
  33. 33. PRE-SALT OVERVIEW 33 33
  34. 34. PRE-SALT JOINT VENTURES • Total Area: 149,000 km2 • Area Under Concession: 41,772 km2 (28%) • Area Not Under Concession: 107,228 km² (72%) • Area With Petrobras Interest: 35,739 km2 (24%) JUBARTE ESS-103 CHL-4 BFR-1 Blocks Consortium 1-2 Bi boer BAZ-1 BC-60 BR (100%) Jubarte Cachalote Shore Distance = 60 km Balia Franca Total Area = 3.000 km2 Baleia Azul Baleia Anã Blocks Consortium BMS-8 BR (66%), SH (20%) e PTG (14%) BMS-9 BR (45%), BG (30%) e RPS (25%) BM-S-11 BM- (Tupi) BMS-10 BR (65%), BG (25%) e PAX (10%) BMS-11 BR (65%), BG (25%) e PTG (10%) BMS-21 BR (80%), PTG (20%) 1.1-2 bi BMS-22 EXX (40%), HES (40%) e BR (20%) Shore Distance = 300 km boer BMS-24 BR (80%), PTG (20%) Total Area = 15.000 km2 34
  35. 35. BRAZILIAN SE BASINS IN COMPARISON WITH GULF OF MEXICO USA 35 t
  36. 36. PRE-SALT ACTIVITIES ACCELERATING, REAFIRMING POTENTIAL AND INCREASING UNDERSTANDING Drilling of the 4th well of the BM-S-10 BM-S-11 Evaluation Plan of Tupi was BR 65% BR 65% concluded, confirming the potential of the area Iara BM-S-8 Parati BR 66% Iracema Excellent performance of Tupi EWT, with production Tupi NE of approximately 20 Tupi Júpiter thousand bpd Extensão - Tupi Carioca Tupi P1 Formation Test in wells Iara, Bem-te-vi Guará Iracema and Tupi Northeast Iguaçu BM-S-24 Abaré BR 80% Drilling and completion of the 1st well in the Tupi pilot Guarani Azulão BM-S-9 Caramba BR 45% Legend: BM-S-21 BM-S-22 Drilled Wells BR 80% BR 20% Formation Test Next steps: new wells in the Tupi pilot; new exploratory wells in BMS-9, BMS-11 and BMS-10 Drilling and Rigs: 3 new drilling rigs until 1H/2010 Completion Ongoing biddings: (i) FPSO chartered for the Guará pilot; (ii) 8 hulls for the Pre-salt project in Santos Basin 36
  37. 37. INVESTMENT PROGRAM FORECAST Total Investments of US$ 104.6 billion in Investment (Program %) E&P through 2013, of which US$ 92 billion will be spent in Brazil Oil Transfer Exploratory Appraisal 4.7% 1.9% Gas Transfer 5.2% Production 12% 13% Infrastructure 0.5% Production 17% Development 87.7% 58% 19% Subsea 49% 32% Wells Exploration Development Units Santos Pre-salt International 37
  38. 38. DEVELOPMENT STRATEGY (example: TUPI) 1st Oil – EWT 1st Oil – Tupi Significant Tupi (Mar/09) Pilot (Dec/10)) production level ..... ..... t 2007 2009 2010 2012 2017 Information Acquisition Definitive Development Phases Phase 0 Phase 1A Phase 1B EWT (Mar/2009), Tupi Implementation of “X” production units Implementation of Focus Pilot and appraisal wells (Replicated FPSOs) “Y” production units • Area Delimitation • Analyze water and gas/CO2 injection behavior • Analyze reservoir flow • Test adjustments on FPU related to CO2 • Fractured well • Test improvements in well projects performance Objective • Apply previous dominated concepts and technologies with • Complete sampled necessary adjustments to reach significant production by 2017 core • Aggregate innovative technical solutions to optimize project • Material analysis vs. performance CO2 38
  39. 39. PRE-SALT ACCOMPLISHMENTS TIMELINE 2008 Phase 0 2013 Phase 1A 2017 Phase 1B 2020 … Phase 1A - Projects Phase 0:Information gathering Phase 1a: 1st phase of definitive development, use of Appraisal wells, Small scale consolidated or rapidly-consolidating technologies to production (EWTs) achieve production targets, generate cash-flow to support Phase 1b First 2 FPSOs to be chartered (2013-2014) • Oil Production: 120,000 bpd Phase 1B - Projects • Gas Compression: 5 M m³/d • 2nd phase of definitive development Additional 8 FPSOs (2015-2016) • Construction of the hulls at the Rio Grande • Significant production increase Shipyard • All identical units, manufactured in series • Innovation acceleration • Process plant under study: • Massive use of new technologies specially − Oil Production: 150,000 bpd tailored for Pre-Salt conditions − Gas Compression: 5.5 M m³/d − Water-Alternating-Gas injection capability 39
  40. 40. MAJOR TECHNOLOGICAL DEVELOPMENTS UNDER EVALUATION PLANSAL - Pre-Salt Development Master Plan Offshore logistical hub Water-alternating- Offshore gas (HC or CO2) produced fluid injection handling hubs CO2 storage in Extended-reach saline aquifers, and deviated depleted fields, salt wells (salt) caves Pre-Salt Flow Assurance Definitive Deepwater and formation CALM buoy damage control Development Dry completion systems (SPAR, Reservoir TLP, FPDSO, …) Characterization Offshore gas Floating LNG storage in salt caves CO2 separation / capture technology 40
  41. 41. ESPÍRITO SANTO PRE SALT n to UTG Cacimbas Infrastructure in-place: diversified and flexible portfolio; Sa Linhares Rio Doce Cangoá MG Peroá P-34 at Jubarte field, first pre-salt production (Sep/08): ito UPGN Lagoa Parda excellent results/light oil (30ºAPI); p ír 24” – 66 km Aracruz 25 MM m3/d Es Terminal Barra do Riacho Camarupim FPSO Seillean started in dec/08 as pilot system of Canapu Cachalote (CHT) field; Golfinho VITÓRIA 2 wells were reallocated from FPSO Capixaba to Carapó Vila Velha FPSO Cidade de Vitória; UTG Sul Capixaba Sul-Norte Capixaba Gas pipeline Developing new discoveries in the Ring Fence of Guarapari Sul Capixaba Gas pipeline 12 a 24” – 160 km 12” – 83 km 7 a 15 MM m3/d Golfinho using FPSO Cidade de Vitória; Anchieta 4,5 MM m3/d Presidente Marataizes FPSO Capixaba (100 Mb/d) moved from Golfinho field Kennedy ARG CHT Baleia Franca and is being adapted to produce in Cachalote JUB OST RJ Baleia Azul NAU (CHT)/Baleia Franca (BFR) in 1H10; ABA CXR PRB Baleia Azul first definitive production unit by 4Q12; Catuá Natural gas production transported via pipeline. Whales Park* 41 *Whales Park comprehends the fields: Jubarte, Cachalote, Baleia Franca, Baleia Azul and Baleia Anã
  42. 42. PRE-SALT OIL PRODUCTION Petrobras Pre-salt Oil Production (000 b/d) 1,815 1,336 632 582 463 219 160 873 1.183 62 422 152 2013 2015 2017 2020 Pre-Salt Petrobras Pre-Salt Partners Pre-salt Capex Through 2020 2009-2013 2009-2020 Petrobras Total Pre-salt Capex (Production Development) 28.9 111.4 Santos Basin Pre-salt 18.4 98.8 Espírito Santo Pre-salt (includes post-salt fields) 10.3 12.6 42
  43. 43. E&P REGULATORY FRAMEWORK Pre-Salt and Strategic Areas 43 43
  44. 44. NEW REGULATORY MODEL Production Transfer Sharing of Rights with Agreement compensation Pre-salt Petrobras 100% and Petrobras Operator Strategic Other companies Areas Up to 5 billion boe Trough Bidding Process Other Areas Current Concession Model There will be no regulatory changes in the areas under concession, including the pre-salt area already granted 44
  45. 45. PRODUCTION SHARING AGREEMENTS Production sharing agreements Petrobras will operate all blocks under this regime, with a minimum stake of 30% Consortium between Petrobras, Petro-sal and the winning bidder will be managed by the Operational Committee Petrobras will be able to participate in the bidding process to increase its stake The winning bidder will be the Companies company that offers the highest percentage of “profit oil” for the Profit Brazilian Government Oil Petrobras will have to follow Government the same percentage offered by the winning bidder The Brazilian Government will not assume the risks of the activities, except when it decides to invest Cost directly Oil Prior to contracting, the Government may evaluate the potential of the areas and may contract Petrobras directly Graphs are showing only hypothetical values 45
  46. 46. E&P TRANSFER OF RIGHTS WITH COMPENSATION Government may transfer to Petrobras, for compensation, without bidding, the rights to explore and produce oil in the pre-salt areas not under concession. These areas may or may not be contiguous Transfer of rights limited to a maximum produced of 5 billion boe. Petrobras will be the owner of produced volumes Oil values shall be determined by technical reports prepared by qualified third parties contracted by the government (ANP) and Petrobras, taking into account best industry practices The transaction includes a clause of reappraisal of reserves value If the value of appraisal rises, Petrobras will pay the difference to the Government. If price falls, the contrary will happen Royalties will be paid by Petrobras and distributed according to the Law nº 9.478/97. No special participation payment is expected 46
  47. 47. TRANSFER OF RIGHTS APPRAISAL Appraisal need to consider Production Capex Curve Production Oil Volume Costs Oil reservoir Future Oil Discount prices Rate Reserves Fiscal development/ Environment Knowledge (government participation) 47
  48. 48. PETROBRAS’ CAPITALIZATION The value of capitalization could be: • Minimum: the same value of the transfer of rights with compensation • Maximum: up to 3 times this value Petrobras will receive cash from minority Petrobras’ increase shareholders in capital Petrobras will pay the (to be approved by transfer of rights with Appraisal of the ESM) compensation to the reserves in R$ federal govt • Brazilian Government could pay the capital contribution to Petrobras with public debt issuances, priced at market value • Petrobras may pay the Brazilian Government the transfer of rights with compensation, using the same securities arising from the capitalization 48 Graphs are showing only hypothetical values
  49. 49. EQUIPMENT AND SERVICES 49
  50. 50. USING CONTRACTS AND LEASES TO SECURE NEEDED DRILLING ASSETS Water Depth 2008 2009 2010 2011 2012 2013 - 2018 0-999m 11 1 1000- 18 2 1999m ≥ 2000m 5 5 9 6 + 28 to be leased Total per 34 7 9* 7 9 28** year Rigs Available in 7 17 6 the market > 2400m 30 RIGS CONTRACTED PLUS 28 TO BE LEASED UP TO 2018, MAKING A TOTAL OF 58 DRILLING RIGS: - 23 being delivered between 2009 and 2011 - 9 will be chartered via international bidding, being delivered in 2012 – Meeting Petrobras’ short-term needs, while the national industry prepares itself for additional orders. - 28 will be built in Brazil, being delivered between 2013 and 2018 * 2 rigs will be dismissed in 2013 50 **30 rigs contracted plus 28 to be leased up to 2018, making a total of 58 new drilling rigs
  51. 51. COMPETITIVE NATIONAL SUPPLY OF GOODS AND SERVICES Adequacy of The National Supply Industrial Complex GOOD AND SERVICES SUPPLY PATH 5. Incentive for international imports companies to establish operations in Brazill 4. Incentive for association between national and Increase in international companies National Supply Capacity of G&S 3. Incentive for new national imports entrants 2. Develop competition among medium competitive sectors 1. Increase productivity capacity of National highly competitive sectors Industry Current Demand Future Demand Source: Promimp, 2008 51
  52. 52. NEW EQUIPMENT TO BE CONTRACTED Items Un. TOTAL Items Un. TOTAL Wet Christmas Tree un 500 Pumps un 8.000 Well Head un 500 Compressors un 700 Flexible Lines km 4.000 Winch un 450 Manifolds un 30 Crane un 200 Producing pipes t 42.000 Engines un 1.000 Umbilical km 2.200 Turbines un 350 Dry Christmas Tree un 1.700 Structure Steal (Hull) t 240.000 Onshore well head un 1.700 Structure Steal (Platforms Hull) t 700.000 Itens Un. TOTAL Itens Un. TOTAL Reactors un 280 Power Generators un 500 Oil and water splitter un 50 Filters un 300 Storage Tankers un 1.800 Flares un 30 Turrets un 550 52
  53. 53. LONG TERM HR CHALLENGES 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 120.000 Projects on Business Plan 2008 – 2012 28 Offshore Drilling 100.000 Rigs 146 Supply Vessels New Production Platforms 80.000 Promef II* 19 Chartered Ships Premium Refinery II 60.000 Premium Refinery I 40.000 20.000 243.000 43.000 Business Plan 2009-2013 Professionals 0 Qualified Shortage of trained human resources and demand for local-content increase Competition with other projects for people 53
  54. 54. DOWNSTREAM 54 54
  55. 55. DOMINANT POSITION IN A LARGE AND GROWING EMERGING MARKET 2008 Total Oil Consumption by Country (mmbo/d) 19.4 10 9 8.0 8 7 6 Brazil is world’s seventh- 5 4.8 largest oil consumer. 4 2.9 2.8 3 2.5 2.4 2.3 2.3 2.2 2.0 1.9 1.7 1.7 1.7 2 1 - S. Korea China India Russia Canada Italy US Germany Japan Mexico Iran Saudi Brazil France UK Total Oil Consumption mb/d (index) 125 Brazil US OECD World 120 Brazil oil consumption 115 growing at 1.99% p.a; 110 OECD oil consumption 105 growing at 0.17% p.a. 100 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 55 Source: BP Statistical Review 2009, PFC Energy
  56. 56. VERTICALLY INTEGRATED SYSTEM TO CAPTURE SYNERGIES WITHIN THE VALUE CHAIN Upstream Operations Downstream Operations Existing Pipelines Refineries Petrobras Marine Terminal Other Companies In Land Terminal Access to raw material • Logistic and infrastructure developed Access to oil products market • Near the biggest market in Brazil 56
  57. 57. ADDRESSING THE NEED TO INCREASE THROUGHPUT CAPACITY AND COMPLEXITY Average Refinery Throughput Capacity (000 b/d) 240 220 200 180 160 140 120 100 1 2 3 4 5 6 7 8 9 10 PFC Energy Complexity Index 57 Source: PFC Energy

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