Petrobras (PBR) Q2 2016 Earnings Call

posted in: Earnings Call, Notes | 0

Dollar-Euro exchange rates have been favourable

“…there was a 38% reduction in finance expenses due to the US dollar appreciation vis-à-vis the euro. And today, our highest net exposure is in dollar terms vis-à-vis euro and therefore, there was a significant reduction in finance expenses.”

Ivan de Souza Monteiro – CFO and IR Officer

On regulatory issues on planned divestments

“…the company is clearly defining the regulatory issue to make it easier for us to make interactions and to promote sales of assets. We are communicating more clearly with all stakeholders. Things are stable and we want the regulatory measures to allow us to make decisions in the best possible environment. I think this is really important because if that does not occur, investors will ask for higher remuneration rates just to cover for additional risks. And that happens when you don’t have a stable regulation environment.”

Solange da Silva Guedes

Idle resources in rigs

“In terms of rig contract, we did and we are strongly focusing to optimize our expenses with this kind of service. We have idle resources due to the reduction of the business plan and successive optimization of well construction. It’s something very – well, the response is very good from our project team, and we have an ideal approach.”

There is no need to add new rigs presently

“In terms of additional rigs to the fleet, this depends on how our strategies will be in the business plan. We don’t feel any immediate need to add any rigs to the fleet, but it will depend on announcements in September related to the business plan.”