Petrobras boosts five-year investment plan to $78 billion

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Brazil' state-controlled oil producer Petrobras on Wednesday disclosed a 15% increase in its five-year spending plan to $78 billion, with little change to the company's strategy of focusing on fossil fuel production.

The logo of Brazil's state-run Petrobras oil company is seen on a tank in at Petrobras Paulinia refinery in Paulinia, Brazil July 1, 2017. REUTERS/Paulo Whitaker/File Photoon Wednesday disclosed a 15% increase in its five-year spending plan to $78 billion, with little change to the company's strategy of focusing on fossil fuel production.

The spending increase comes despite a reduction in the production target for 2023 of 100,000 barrels of equivalent oil per day to 2.6 million boed, the same it produced in 2015. Higher costs for drilling wells partially explains the added investments. Petrobras expanded investments to curb carbon emissions to 6% of the total from 4% before. It also more than doubled its decarbonization fund to about $600 million.

 

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