Petrobras forecasts signal reduced losses from selling imported fuel

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

Petrobras (PBR +1.7%) expects a sharp decline in the amount of gasoline and diesel fuel it imports starting in November, when its new Abreu e Lima refinery begins operation, company officials say in an investor conference call.

The refinery is expected to start its first of two refining trains on Nov. 4, which is expected to reach full production of 115K bbl/day in January.

Sales to overseas markets likely will surge ~50% in H2 2014 while refinery production should rise 4%, signaling a reduction in losses from selling imported fuel at below global prices.

PBR says it expects crude exports to average 250K bbl/day in H2; output at the company’s pre-salt fields reached a record 546K barrels on July 13.