Coronavirus: Oil companies should reduce investments by 30%

With the global recession scenario due to the coronavirus pandemic and the drop in the barrel of oil to below $30, according to consultancy Wood Mackenzie, oil companies will cut investments in exploration and production by about 30 percent. this year, estimated at US$ 75 billion.

ExxonMobil, for example, told O Globo that it will evaluate a "significant" reduction in its investments and operating costs. Last Monday (24), the Anglo-Dutch Royal Dutch Shell also announced a cut of US$ 5 billion in investments.

Petrobras said it is monitoring price developments, but maintains its investment plan that predicts US$75.7 billion between 2020/24. However, the state has already begun to postpone some projects, such as the sale of the eight refineries that was planned for this year. 

According to Marcelo de Assis, director for Latin America in the upstream area of the consultancy, adding to the cut in expenses in the exploration and production segment, the total reduction in spending should reach 57% of the amounts that were planned, of US$ 155 billion. But for now, the contracted drilling rigs should not have their contracts cancelled.


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