While Petrobras Focuses on Pre-Salt, Competitors Diversify Their Businesses

Petrobras Races Against Time to Produce Everything That Brazilian Pre-Salt Can Offer Before Inevitable Energy Transition, but Experts Are Concerned

As other global oil giants shift and even transition to a differentiated market in the energy sector, such as in the petrochemical field and clean/renewable energies, Petrobras maintains its scope and focus on only one segment of services, becoming increasingly less flexible compared to major operators.

It’s no surprise that Petrobras is betting everything on pre-salt, focusing on oil and gas productivity, with an intense divestment project to reduce its deficits and increase the state-owned company’s cash flow.

Valor consulted some analysts experienced in this type of market, many of whom have divided opinions on whether this strategy is really a good business for Petrobras, as fuel consumption is inevitably decreasing in the long term and while other companies have shown interest in different types of activities, the Brazilian state-owned company remains static.

The president of Petrobras, Roberto Castello Branco, has already expressed interest in selling Liquigás, Braskem, and reducing its stake in the refining market of BR Distribuidora in about two months.

According to Adriano Pires, director of  Brazilian Center for Infrastructure (CBIE), since the state-owned company is the largest explorer in pre-salt fields in the world, any other applications and investments coming from its cash do not make much sense at this moment because they will not yield the expected financial return.