Petrobras to Form Biofuels Subsidiary
05 March 2008
Brazilian oil producer Petrobras will form a wholly-owned subsidiary to undertake the company’s biofuels activities. Biofuels work is currently spread among several company areas and subsidiaries, making it more difficult to manage, according to Petrobras.
The new company will absorb both ethanol production (CBios) and biodiesel input acquisition and processing, currently done directly by Petrobras, in addition to future investments. Ethanol and biodiesel marketing and logistics, in Brazil and abroad, will remain under the downstream group’s responsibility.
Petrobras’ Strategic Plan calls for global performance in biofuel marketing and logistics, leading the Brazilian biodiesel production, and for boosting its share in the ethanol business, with investments forecasted at $1.5 billion through 2012.
"In October 1953, after Law 2.004 was passed, Petrobras’ was allowed to be incorporated to undertake oil sector activities in Brazil on behalf of the Union."
They can do this because they work on behalf of the nation and not only their corporate interest.
Posted by: sjc | 10 March 2008 at 07:54 AM