BRAZIL PRE-SALT: NEGOTIATING FIVE BILLION BARRELS OF OIL
The Brazilian government has just hired GCA to do the valuation of the pre-salt fields on their behalf. At this stage it is clear that Petrobras will go for an equity issue, but the conditions of it are not yet clear, as it depends on the negotiation for the transfer of rights for the new pre-salt oil fields. If successful closure is achieved on this negotiation, Petrobras will have to pay the government for the new pre-salt fields, in addition to getting external capital to support its investment plan 2010-2014. Learning objectives: The learning objectives focus on the approach to the negotiation.