Wednesday, October 27, 2010

Who the Hell is Going to Explore for Oil in Brazil?

Roubini Global Economics reports:

Brazil's Senate is holding a bill that would increase state control over recent oil discoveries and ensure that the proceeds help bankroll state investments in areas like infrastructure, education and poverty-reduction programs. These measures would reduce competition in Brazil’s energy sector, boosting Petrobras’ role and limiting opportunities for foreign investors. If Dilma Rousseff wins the presidential election on October 31, this initiative is likely to be approved; if Jose Serra wins, it may be abandoned.

1 comment:

  1. The same people who invest in Venezuelan oil fields: chines, iranians and minor private companies hungry for reserves at any cost. Sadly, there seems to be always someone willing to put up with arbitrary government conditions.