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Petrobras says it raised fuel oil price by 15% last December

Petrobras (PBR) confirms it raised the price of fuel oil by 15% on Dec. 30, 2013.

PBR says it didn't inform markets of the price increase at the time because it doesn't consider it to be a relevant fact; the company only announces changes to the price of gasoline and diesel fuel because they are more relevant to earnings results.

PBR also says its proven reserves rose 0.8% to 16.6B boe at year-end of 2013.

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Comments (10)
  • zerosum2
    , contributor
    Comments (99) | Send Message
    It would be interesting to see what market reaction to this news tomorrow (January 14 2014). More sell off? Too late too little to satisfy "investors".
    14 Jan 2014, 07:50 PM Reply Like
  • Capt Jack Daniels
    , contributor
    Comments (1466) | Send Message
    PBR needs to get its stuff together and needs to be able to charge fair market not bogus prices.


    Makes no sense to lose money and work harder and at record refining output to sell at a loss.
    15 Jan 2014, 12:56 AM Reply Like
  • Rope a Dope
    , contributor
    Comments (703) | Send Message
    The Brasilian government controls prices on gas and diesel. They use PBR to subsidize the Brasilian economy without anything showing up in the federal budget.


    Do you know who PBR's largest shareholder is?
    15 Jan 2014, 05:43 AM Reply Like
  • nun
    , contributor
    Comments (109) | Send Message
    I love this. They didn't tell us earlier because they didn't consider fuel prices to be relevant, even though everything they do is fuel.
    15 Jan 2014, 10:07 AM Reply Like
    , contributor
    Comments (17) | Send Message
    15 Jan 2014, 02:18 PM Reply Like
  • chadusps
    , contributor
    Comment (1) | Send Message
    this is insane. PBR is Brazils biggest oil producer. The Brazillian gov't doesnt have to depend on any other country for its oil. The USA should import more from Brazil and less from south west asia. what a crock of bs
    15 Jan 2014, 03:57 PM Reply Like
  • mnuti
    , contributor
    Comment (1) | Send Message
    16 Jan 2014, 11:32 AM Reply Like
  • Capt Jack Daniels
    , contributor
    Comments (1466) | Send Message
    Close but USU is probably worse.
    16 Jan 2014, 11:45 AM Reply Like
  • JZ0726
    , contributor
    Comments (5) | Send Message
    PBBR should adjust its gas and diesel price more aggressively in accordance with the market demand. It simply doesn't make sense to pay more for imported oil and sell it at a loss just because Brazil government does feel comfortable to gas and diesel price adjustment. If Brazil government want to stabilize the market there, why doesn't it compensate for the loss that PBR is suffering from instead of letting share holders suffer such a financial loss. Actually Brazil government is taking advantage of PBR share holders because most of them are not Brazilian residents!!!
    17 Jan 2014, 01:39 AM Reply Like
  • Rope a Dope
    , contributor
    Comments (703) | Send Message
    JZ, the last I checked, the government of Brasil owned either 54% or 58% of PBR, so I’m sure they are somewhat aware of whose foot they are firing rounds into.


    To potential investors in the US, PBR may look like an energy company but to the Federal Government of Brasil, PBR is a giant piggy bank. They use price controls to keep the cost of fuel low and subsidize the working poor. To that end, it is hard to argue with the success Brasil has had with lifting tens of millions out of poverty and into the middle class but I believe at some point they will need to reexamine their tax structure if they really want their economy to take off.


    I don’t think there is an energy company on the planet that can match PBR in terms of potential for growth, but until the Brasilian government gets off PBR’s coattail, it can’t be considered as a worthy investment vehicle.
    17 Jan 2014, 05:11 AM Reply Like
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