Petrobras cuts five-year investment plan by 25% to $98.4B
Jan. 12, 2016 7:45 AM ETPetróleo Brasileiro S.A. - Petrobras (PBR)PBRBy: Carl Surran, SA News Editor6 Comments
- Petrobras (NYSE:PBR) -2.9% premarket after announcing a ~25% reduction in planned investments for the 2015-19 period to $98.4B, the lowest in years, and warning that more declines in oil prices and the nation's currency could lead to further revisions.
- PBR says 81% of the planned capital spending, or ~$80B, would go to exploration and production investments.
- PBR cuts its 2016 estimate for average oil output in Brazil to 2.145M bbl/day from a prior target of 2.185M bbl/day; 2015 oil production in Brazil averaged a company record 2.128M bbl/day, in-line with its target and 4.6% more than 2.034M in 2014.