Petrobras CEO says no capital raise before 2030

|About: Petrobras - Petroleo Brasil... (PBR)|By:, SA News Editor

Petrobras (PBR -1.2%) CEO Maria das Gracas Foster says the company does not expect to issue new shares before 2030, despite last week's deal to obtain additional production rights from the government.

Analysts have acknowledged that the deal essentially granted PBR oil on the cheap, but many, such as Morgan Stanley's Bruno Montanari, also noted that the state-run company has its hands full with an ambitious expansion plan for the coming years.

The CEO reiterates that the deal would increase PBR's 2014-18 investment budget by only 3.5% from the previously stated $220.6B.