On the night of last Wednesday (25), Petrobras announced, through a statement, that cut its five-year investment plan by 27% compared to the previous one, to 55 billion dollars. The initiative aims to preserve cash, as the pandemic has had an impact on global oil demand and prices.
The oil company said it will focus on productive pre-salt oil fields as it sells non-core assets to reduce debt, and plans to invest $46 billion, or 84 percent of total investments, in exploration and production. According to the company, there will be a limitation in approving investments for new projects that can be profitable with oil prices as low as $35 a barrel.
The spending cut will reduce Petrobras' daily production to about 2.75 million barrels of oil equivalent (boe) in 2021, compared to a projected production of 2.84 million barrels per day in 2020. However, oil and natural gas production is expected to rise to 3.3 million boe per day by 2024 and remain stable in 2025, the company said.