Plan Petrobras Londres

Documento descargado en www.HidrocarburosBolivia.
com
Jos Sergio Gabrielli
August, 2011
CEO
DISCLAIMER
Documento descargado en www.HidrocarburosBolivia.com
This presentation may contain forward-looking statements. Such statements reflect only the expectations of the Company's management regarding the future conditions of the economy, the industry, the performance and financial results of the Company, among other factors. Such terms as "anticipate", "believe", "expect", "forecast", "intend", "plan", "project", "seek", "should", along with similar expressions, are used to identify such statements. These predictions evidently involve risks and uncertainties, whether foreseen or not by the Company. Consequently, these statements do not represent assurance of future results of the Company. Therefore, the Company's future results of operations may differ from current expectations, and readers must not base their expectations solely on the information presented herein. The Company is not obliged to update the presentation and forward-looking statements in light of new information or future developments. Amounts informed for the year 2011 and upcoming years are either estimates or targets.
Cautionary statement for U.S. investors: The United States Securities and Exchange Commission permits oil and gas companies, in their filings with the SEC, to disclose proved reserves that a company has demonstrated by actual production or conclusive formation tests to be economically and legally viable under existing economic and operating conditions. We use certain terms in this presentation, such as discoveries, that the SECs guidelines strictly prohibit us from including in filings with the SEC.
BRAZIL LEADERSHIP IN RECENT DISCOVERIES

Deep-water discoveries in Brazil represent 1/3 of the worldwide discoveries in the last 5 years
New Discoveries 2005-2010 (33,989 million bbl) Deep-Water Discoveries
38%
Brazil Brasil
62%
Outros Other
Other Discoveries
Deep-Waters
In the last 5 years, more than 50% of the new discoveries (worldwide) were made in deep waters The development of these reserves will demand additional capacity from the supply chain Expansion of the oil and gas chain in Brazil is in line with this perspective Petrobras expects to double its proved reserves until 2020, keeping the discovery cost around US$2/boe
Source: PFC Energy
INCREASE IN SALES VOLUMES

Sales Volume (thousand boe/day)
6.6% p.y.
8,000 7,000
5.6% p.y.
7,142
79 141 401
Fertilizers
El ectri c Energy
6,000 5,000 3,773 4,000 3,000 2,000 1,000 0 2009 2010 2011 3,464
17 94 125 542 231 706 1,097 652 17 94 136 593 312 699 1,204 718
4,958 3,848
17 97 147 634 320 586 1,315 731 38 106 290 738 436 997
906 480
Bi ofuel s
Interna ti ona l Sa l es (*)
2,317
Na tura l Ga s
Exports
1,739 1,453 1,078

Other Di stri bui tors
899
Sa l es to BR
2015
2020
BP 2011-15 - Petrobras Total Sales Volume
(*) international area sales and offshore trading operations free from eliminations
Investment Program
2011-15
2011-2015 INVESTMENTS Stable investments, greater focus on E&P 2010-14 Business Plan
US$224 billion
2% 1% 2% 1% 2,9 8%
17.8
2.9 3.5 2.4 5.1
2011-15 Business Plan

US$224.7 billion 2% 2% 1% 2,4 1% 6% 2.4 2,3

4,2 4,2 14,73,2 4.1 3,2 14,7 13.2 3.1 4,14,1
3.8
118.8 73.6
53%
33%
31%
65,5 65,5 70.6
127.5
(*)
57%
E&P E&P
Gas, Energy & Gas Chemicals Gs,Energia & Gs Qumica
RTM RTC Petrochemicals Petroqumica
(*) US$22.8 billion in Exploration
Distribuio Distribution Corporativo Corporate
Biocombustveis Biofuels
5% of investments will be made overseas, 87% of which in E&P
HSEE (US$ 4.2 bi), IT (US$ 2.7 bi), Technology (US$ 4.6 bi), Logistics (US$ 17.4 bi), Maintenance & Infrastructure (US$ 20.6 bi) 6
INVESTMENTS BP 2011-15 VS. BP 2010-14 Increase from new E&P projects and FX rate offset by downstream deferrals
US$ billion
BP 2010-14 (R$ 419.7 billion) BP 2011-15
(R$ 388.9 billion)
US$ 224 billion

Excluded
0,3%
US$ 224.7 billion

New
10,8
82,9 37%
-9,7%
Maintained
32,1
90,6 40%
213,2
141,1 63%
Maintained
192,6
Changes in: FX rate Budget Schedule Business model Scope
134,1
8.6 1.5 (23.7) (0.6) (6.4)
60%
Total in Foreign Currency Total in Local Currency
KEY CHANGES IN PORTFOLIO Reassignment of E&P investments

Exploration & Production Supply (includes Petrochemicals) Gas & Energy
+ US$8.7 billion
- US$4.3 billion
- US$4.6 billion
New Projects
TPP Barra do Rocha I TPP Bahia II
New Projects
Transfer of Rights New Pre-Salt Units (Lula) Infrastructure New Discoveries and R&D
New Projects
New Comperj units Oil Logistics
Projects concluded in 2010

Gas pipelines: Gasene, PilarIpojuca, Gasduc III and Gasbel II
Projects concluded in 2010

Braskem capital contribution Fuels quality investment
Excluded, Revised and/or Postponed Projects

Postponement of projects: UFN IV, UFN V, GTL Paraffins and Gas FSO Exclusion of Catu-camaari gas pipeline and Ecomp Itajupe Exclusion of TPP projects (from 2010 auctions)

Projects discontinued after unsuccessful exploratory phase Revision of Development Projects

Postponement of Premium I Refinery
INVESTMENTS AND PROJECT APPROVAL TIMELINE

US$224.7 billion 688 projects 2011-15 Period
US$ billion
250
112 projetos 112 projects 39 projects 39 projetos 41 projects 22 projects 22 projetos 41 projetos
200
104 projetos 104 projects
13,5
6%
5,4
2%
4,1
2%
33,5
15%
150
95 projects 95 projetos
41,4
18%
51,0 100
275 projects 275 projetos
224,7
23%
50
75,7
34%
0
Approved Aprovados until 2009 at 2009
2010
2011
2012
2013
2014
After2014 Ps 2014
Total
CONSOLIDATED RETURNS E&P drives results

E&P Investments (57% of total) ensure production growth and high IRR
Other investments (43% of total) add value to the chain, generating returns equal or higher than the cost of capital Investments in quality are a legal requirement Total investments (BP 2011-2015) with attractive IRR Petrobras is an integrated company ready to speed up production growth Reduced cost due to a higher business integration and a leading position in a large and growing market
ROCE
35% 30% 25% 20% 15% 10% 5% 0% -5%
Integrated companies deliver better returns
20 01
20 02
20 05
20 00
20 03
20 06
20 08
20 09
Integrated Integradas CompanhiasCompanies
20 04
Companhias de E&P E&P Companies
20 07
Companhias de Refino Downstream Companies
Source: selected company data
20 10
10
Funding Needs
11
OIL PRICE Oil price assumptions within market's expectations

US$/bbl
250 225 200 175 150 125 100 75 50 25 0 2010
95 80 Petrobras Scenarios
2011
2012
2013
2014
2015
Based on 2011-2012 forecasts: Banks (Source: Bloomberg) Based on 2013-2015 forecasts: PIRA, DOE, CERA, WoodMackenzie, IEA
12
VARIABLES Key variables that impact the cash flow and funding needs
Assumptions
No Equity Issue in the period Investment grade maintenance
Key variables for Cash Generation and Investment Level

Oil price Foreign Exchange Rate Brazilian Market Growth Average Realization Price (ARP) Brazil International Parity International margins per product Oil and oil products exports and imports Investment Program Divestments and business restructuring Third-party funding
13
CASH GENERATION AND INVESTMENTS Divestment and traditional funding sources adequate for Plan needs
Scenario A
US$ 256.1
13,6 31,4 26,1 26,1
Scenario B
US$ 255.6
13,6 30,9
US$ 256.1
US$ 255.6
Key assumptions Scenario A Exchange rate (R$/US$) 1.73 2011 110 2012 80 Scenario B 1,73 2011 110 2012 95 2013 95 2014 95 2015 95 26% 1.5 177
67,0 91,4
224,7
224,7
Brent (US$/bbl)
2013 80 2014 80
148,9 125,0
2015 80 Leverage (Average) Net Debt/EBITDA (Average) ARP (R$/bbl) 29% 1.9 158
Sources
Use
Sources
Use
Divestment and Restructuring Cash Third-Party Resources (Debt) Operating Cash Flow (After Dividends)
Debt Amortization Investments
40% of capex in dollar in comparison to 37% in the previous Plan
14
Exploration & Production
US$127.5 billion
15
STRATEGY Sustainable development of hydrocarbon reserves

Increase oil and gas reserves and production, in a sustainable manner, and be recognized for its excellence in E&P operations, placing the Company among the worlds five largest oil producers
2011-15 Business Plan Highlights: 65% of Capex allocated to production development 19 large projects, adding capacity of 2.3 million bpd Drilling of more than 1,000 offshore wells, of these 40% is exploratory and 60% is production development In 2020, the pre-salt production will correspond to 40.5% of the oil production in Brazil
16
E&P INVESTMENTS IN BRAZIL 2011-15 BUSINESS PLAN

Exploration
E&P investments in Brazil: US$117.7 bn

Pre-Salt US$ 53.4 billion

Infrastructure 17%
Post-Salt US$ 64.3 billion

68% Other areas 18% Exploration
26% Pre-salt
6% Transfer of Rights
65% Production Development
Production Development
Other areas 48%
Pre-salt 37%
Annual investments of more than US$ 4 billion in exploration

15%
Investments of US$ 12.4 billion related to the transfer of rights areas in 2011-15 In the BP 2010-2014, the forecasted investment for the PreSalt was of US$33 billion
Note: Pre-salt includes Basins in Santos, Campos and Esprito Santo
Transfer of Rights
17
PRODUCTION
Petrobras can more than double production in the next decade

Business Plan 2011-15
3,993
125 180 618
6,418
142 246 1.120
2,386 000 boe/day

99 111 321
2,516
96 132 317
2,575
93 144 334
2,772
96 141 435
+ 35 Systems
+10 Post-Salt Projects +8 Pre-Salt Projects +1 Transfer of Rights
4,910 3,070 845

Transfer of Rights Pre-Salt
1.855
1.971
2.004
2.100
Added Capacity Oil: 2,300,000 bpd
13
543
1,148
2008
2009
2010
2011
2015
Oil Production - International
2020
Natural Gas Production - International
Oil Production- Brazil
Natural Gas Production - Brazil

3,907
128 176
Business Plan 2010-14

2,575
334
93 144
623
+ 9 Post-Salt Projects + 5 Pre-Salt Projects Added Capacity Oil: 1,800,000 bpd
Pre-salt and Transfer of Rights will represent 69% of the additional capacity up to 2020 Pre-Salt participation in the total production will enhance from the current 2% to 18% in 2015 and 40.5% in 2020
2.980
2.004
2010
2014
Note: Does not include Non-Consolidated International Production.
18
PRODUCTION Long history of implementing offshore projects in Brazil

Thous. bpd Thous.
2,004
2000 1600 1200 800 400 0 Deep water Shallow water Onshore
10% p.y over the last 30 years
1,271
1,601
653
42 400
749
187
112 1980
Onshore
292
189
75
211 1990
Shallow Water
230 2000
Deep Water
214 2010
Deep & UltraDeep Water Pre-Salt
123 offshore units (45 floating and 78 fixed) 25 new units installed over the last 5 years
P-56 P-57
19
NEW PROJECTS Large projects drive the increase in production

Lula Pilot FPSO BW Cidade Angra dos Reis 100.000 bpd Cachalote and Baleia Franca FPSO Capixaba 100.000 bpd Thous. bpd Urugu FPSO Cidade de Santos 35.000 bpd Jubarte FPSO P-57 180.000 bpd Mexilho Jaqueta HG Tamba FPSO Cidade de Santos NG Marlim Sul module 3 SS P-56 100.000 bpd
NG Projects Pre-Salt and Transfer of Rights Projects Post-Salt Projects
Juru NG Lula NE FPSO Cidade de Paraty 120.000 bpd Parque das Baleias FPSO P-58 180.000 bpd Papa-Terra TLWP P-61 & FPSO P-63 150.000 bpd Guar (North) FPSO 150.000 bpd Cernambi South FPSO 150.000 bpd
EWTs
Franco 1 Transfer of Rights FPSO 150.000 bpd FPSO P-67 Replicant 2 150.000 bpd BMS-9 our11
Guar Pilot 2 FPSO Cidade de So Paulo 120.000 bpd Baleia Azul FPSO Cidade de Anchieta 100.000 bpd (FPSO Espadarte reallocation)
3.070
FPSO P-66 Replicant 1 150.000 bpd BMS-9 or 11 Maromba FPSO 100.000 bpd ESP/Marimb FPSO 40.000 bpd 5 EWTs Pre-salt
3000 2500 2000 1500 1000 500 0
2.004
Tiro Pilot SS-11 Atlantic Zephir 30.000 bpd EWT Guar FPSO Dynamic Producer 30.000 bpd
2.100
EWTs Lula NE e Cernambi FPSO BW Cidade So Vicente 30.000 bpd EWT Carioca FPSO Dynamic Producer 30.000 bpd Roncador module 3 SS P-55 180.000 bpd Tiro/Sidon FPSO Cidade de Itaja 80.000 bpd 4 EWTs Pre-salt Roncador module 4 FPSO P-62 180.000 bpd Aruan FPSO 100.000 bpd 3 EWTs Pre-salt Baleia Azul FPSO 60.000 bpd Siri Jaqueta e FPSO 50.000 bpd 5 EWTs Pre-salt
2010
2011
2012
2013
2014
2015
20
NEW PROJECTS Higher number of drilling rigs will enable a faster ramp-up of the new platforms
Months
20 16 12 8 4 0
P-43
To atingir 50% capacidade Parareach 50% capacity Parareach 75% capacity To atingir 75% capacidade
Forecast
P-48
P-50
P-52
P-54
P-53
P-51
FPSO CAPIXABA
P-57
2004
2005
2006
2007
2007
2008
2009
2010
2010
P-56: 1 producing well and 1 injection well at the start-up (3Q11). 4 connected wells by end of 2011
Water Depth
Up to 1,000 meters 1,000 to 2,000 meters Over 2,000 meters
2006
6 19 2
2008
11 19 3
2010
11 21 15
2011
+2 +10
2012
+1 +13
2013
+1 +1
From 2007 to 2012 Petrobras will double its fleet of contracted drilling rigs, focusing on modern, recently built drilling rigs with capacity to operate in the Pre-salt layer 21
PRE-SALT RESULTS EWT results and learning curve from drilling show improving economics
Average drilling time of wells completed during the year (versus combined average time for 2006/7)
5 wells 4 wells 5 wells 6 wells
Results obtained during EWTs
Stable production Restriction due to flaring limitation Good reservoirs behavior Good lateral communication No oil flow issues
EWT Schedule
4 4 1 1 4 5 3 5
2011
2012
Rights
2013
2014
EWT Other areas TLD - Outras reas
2015
EWT Pre-Salt Cesso Onerosa TLD - Pr-Sal e and Transfer of
22
COST-BENEFIT ANALYSIS Capital investments required by Plansal 45% lower, increasing NPV
Investment
Concession Areas
Net Present Value
Concession Areas
23
PROFITABILITY New E&P projects generate attractive returns
Key Assumptions:
150,000 bpd FPSO Production of 500,000 BOE Ramp-up in line with industry Historic decline rate Oil value = 95% Brent Does not include exploration and acquisition costs
US$/ bbl
Case 1 US$12/boe Capex / US$5/boe Opex Case 2 US$15/boe Capex / US$7/boe Opex Case 3 US$12/boe Capex / US$5/boe Opex without Special Participation (such as Transfer of Rights) (expected scenario)
The graph illustrates the cost-benefit ratio of a standard production development in Brazil, using assumptions based on previous experiences
24
E&P PROFITABILITY IN BRAZIL Profitability of oil Production in Brazil fully exposed to oil prices
Brent vs. Net income per Barrel E&P Net Income ($/boe)
Net income per Barrel (US$)
Peers Petrobras
Brent (Average in dollars)
E&P ROCE
E&P profitability strongly correlated to oil price Production in Brazil: 86% oil and 14% gas Higher net profit per barrel yields better return than its peers Stable regulatory environment allows for capturing the benefits of the increase in oil prices
Peers Petrobras
Source: PFC Energy
Peers: BP, CVX, XOM,RDS, TOT
25
VARREDURA PROJECT
Technological development and exploratory optimization

Discoveries indo Pr -sal Descobertas Pre-salt na Bacia de Campos Campos Basin 2009/10 2009/10 (VARREDURA) (Varredura)
Varredura Project
Additional recoverable volume from discoveries: Post-salt: Marimb, Marlim Sul and Pampo: 1,105 MM boe Pre-salt: Barracuda, Caratinga, Marlim, Marlim Leste, Albacora and Albacora Leste: 1,130 MM boe* Well productivity exceeds 20,000 bpd
Between 2011 and 2015 67 exploratory wells will be drilled in current production areas in Campos basin
*No volumes have been announced regarding the Marlim Leste and Albacora Leste discoveries.
26
NEW TECHNOLOGIES
Applications enhance recovery, slow decline rates and increase production

Technological Solution Technology Status
Subsea BCS Subsea Pumping Systems Subsea Pumping Model Skid BCS Subsea Multiphase Pump BMSHA Gas/Liquid Subsea Separation Oil/Water Subsea Separation Raw water injection Subsea electric transmission and distribution VASPS SSAO SRWI Under qualification
In Operation In Operation (Jubarte e Golfinho) Prototype in TLD ESP 23 (Oct/11) Prototype in Barracuda (Dec/11) Prototype Tested in P-08 (2011) Prototype in Marlim (End of 2011) Prototype in Albacora (End of 2011) Prototype scheduled to 2015
VASPS
Underwater Electric Pump in Skid
Raw water injection
Oil/Water Subsea Separation
27
NEW VESSELS AND EQUIPMENTS
Resources required for production growth

Critical Resources
Drilling Rigs Water Depth Above 2.000 m Supply and Special Vessel Production Platforms SS e FPSO Others (Jacket and TLWP) Current Situation (Dec/10) 15 287 44 78 Delivery Plan (to be contracted) Accumulated Value
By 2013 39 423 54 80
By 2015 37 (1) 479 61 81
By 2020 65 (2) 568 94 83
Production Supply Vessel Drilling Rigs Platform (FPSO)
39 rigs contracted, 28 more to be built by 2020:

o Until 2013: 16 rigs contracted before 2008 and 2 rigs relocated from international operations; +15 new rigs contracted in 2008, +1 in 2009, +1 in 2010 and +4 in 2011 through international bidding o 2015-2020: From the 28 rigs to be built in Brazil, EAS won the bid for the first package - construction and chartering of seven drilling rigs to be built in Brazil. A new bid was open for the remaining 21
(1) Two rigs reallocated from international operations, expire in 2015, so it is not considered in the 2020 accumulated value (2) The demand for long-term will be adjusted as new demand assessments are made.
28
TRANSFER OF RIGHTS
Development of the areas fully under way

Declaration of Commerciality
Exploration
Production
Development
Duration: 4 years Extendable for 2 more years
Variable, according to Development Plan
Total Duration: 40 years, extendable for 5 more years according to specific criteria
Area
Franco lara surroundings Florim NE of Tupi South of Guar South of Tupi
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
Resources already available for: 7 Exploratory wells 1 contingent Exploratory well 1 EWT 2 contingent EWTs 3D Seismic
First 4 production units undergoing contracting (*)
New technologies and definition of resource allocation
* Conversion at the Inhama shipyard
29
THE TRANSFER OF RIGHTS Mechanisms for the revision allow for fair valuation
The revision will be completed after the declaration of commerciality (4 years period)
Revision based on technical reports and on assumptions provided in the contract Assumptions for price revision: Changes in oil price Production curve Cost assumptions update No changes in the discount rate and same appraisal base-date
Final value
Higher
Lower
Petrobras pays the difference to the Federal Government (or) Petrobras requests a reduction in volumes corresponding to the difference
Federal Government pays the difference to Petrobras
30
BENEFITS FROM THE DEVELOPMENT OF THE LOCAL INDUSTRY

Suppliers investing in Brazil Flexible pipes - Wellstream and Prysmian Pumping Units Weatherford
30 x
Jobs Positions at Navy Industry
Valves Cameron Turbine generators Rolls-Royce 2 FPSOs fully built in Brazil 6 Platforms under construction in Brazil Construction of 8 hulls for replicant FPSOs (65% Local Content) Contracting of 7 drilling rigs at competitive cost and 21 being leased (55%-65% Local Content)
Platforms built in Brazil with competitive cost
Source: Sinaval
31
Refining, Transportation & Marketing (RTM), Including Petrochemicals US$74.4 billion
32
STRATEGY Expansion, quality, logistics and commercialization

Expand the downstream, ensuring domestic supply and distribution leadership, developing markets for the oil surplus produced in Brazil
2011-15 Business Plan Highlights: Downstream capacity will increase by 395 thousand bpd between 2011-15 and 1,065 thousand bpd between 2016-2020 Conclusion of the refining modernization process Logistics integrated with upstream activities ensuring oil surplus marketing Increase petrochemicals and biopolymers production
33
DOWNSTREAM INVESTMENTS New refineries, fuel quality and modernization account for 74% of RTM investments
US$70.6 billion
4.5% 4.9% 1.0% 1.1% 0.8%
Refining Capacity Expansion: Abreu e Lima Refinery, Premium I and II, and Comperj Quality & Conversion: Modernization, conversion, and hydrodesulphurization projects Operational improvement: maintenance & optimization, HSE, and R&D
15.2% 13.9%
26.4% 23.9%
Fleet Expansion Logistics for Oil: oil supply to refineries and oil exports infrastructure
Refining Capacity Expansion Quality and Conversion Operational improvement Fleet Expansion Logistics for Oil International
Petrochemical Investments amount to US$3.8 billion
34
DOWNSTREAM EXPANSION Reduced dependence on imports of oil products

Increase in import levels will lead to higher logistical costs... 000 bpd 2006 2007 2008 2009 2010 2011E ... and to high levels of exposure to international supply Net Imports as a percentage of total demand (%)*
USA Brazil (2010) France Germany China Japan Spain Mexico Indonesia Brazil (2020)**
* Source: IEA 2010 World Energy Statistics ** Without considering Capacity Expansion
35
PRODUCTION, DOWNSTREAM AND DEMAND IN BRAZIL Construction of new refineries to meet the demands of the local market
,000 bpd 5,000
PREMIUM I (2nd phase) 300,000 bpd (2019) COMPERJ (2nd phase) 165,000 bpd (2018)
COMPERJ (1st phase) 165,000 bpd (2013) Abreu e Lima Refinery (RNE) 230,000 bpd (2012)
4,000
3,327
2,536
3,070
2,147
1,971
1,933
2,004
2,100
1,000
0 2009
Oil and NGL Production Brazil
1,792
2010
1,798
1,811
2011
Total crude oil processed Brazil
2,208
2015
2,205
2020
Oil Products Market (2 scenarios)
3,217
36
2,000
PREMIUM I (1st phase) 300,000 bpd (2016)
4,910
3,000
2,643
PREMIUM II 300,000 bpd (2017)
3,095
REFINERY EXPANSION 2011-15 First construction of greenfield refineries in 32 years

REPRE I REPRE II
Abreu e Lima Refinery

Capacity: 230,000 bpd Stage: Implementation Startup: 2012
Comperj
Capacity: 330,000 bpd Stage: Implementation Startup: 2013 and 2018
RNE
Premium I Refinery
Capacity: 600,000 bpd Comperj Stage: Earthworks Startup: 2016 and 2019
Premium II Refinery
Capacity: 300,000 bpd Stage: Preliminary License issued Startup: 2017
Petrobras Refineries
RNEST COMPERJ PREMIUM I PREMIUM II REMAN REDUC REPLAN REGAP REFAP RLAM RECAP RPBC REVAP REPAR
32 years
50s
60s
70s
80s
90s
00s
10s
Learning curve from Abreu e Lima and Comperj will reduce Premium refineries CAPEX
37
PRODUCT DEMAND Product deficits in the northeast determine location of new refineries
Market in 2010 Market in 2015
299
552
968
763 -464 Deficit -416 Capacity Demand

1.652
1.466
Capacity
Demand
Deficit 1.675
1.384
82
-23 Capacity Demand Deficit
Capacity
Demand
Surplus
Increased demand in Central-West, Northeast, and North regions explains the investments in the Northeast Tax incentives and environmental restrictions (in other regions) contribute to these investments assignments
38
PRODUCTS New refineries will produce higher value-added oil products

Existing refineries output 2020 New refineries output 2020
65%
43% 36% 21% 50%
38%
21% 10%
19% 4% 15% Medium Distillated Naphtha Special 15% Light
9% 5% Medium Distillated 6% Light Diesel Jet Fuel
15% 4% 11% Others
7% 4% Others Gasoline LPG
Fuel Oil Intermediary
Higher global demand for medium-distillates products tends to lead to an increase in these prices
39
PREMIUM REFINERIES Positive returns based on scale, standardization and design

Economies of scale and new implementation strategies to reduce Capex, including: Design competition project based on the lowest cost Hiring of UOP - international company with wide experience Unique design integrating both on-site and off-site Designer involved from conceptual design to technical assistance when the start up Economy of Scale (Train: 300kbpd modules) Standardization of equipments Lower refining cost due to design quality and scale
Current downstream cost (US$ / bbl in 2010)

Age (years)
Scale (000 bpd)
40
INVESTMENT LEVEL Decreasing investments in quality after the segments modernization stage
US$16 billion in 2011-15

7.0
US$ 16 billion
Reduction in sulfur content
5.9 4.5 4.9

Avg. Sulfur content Diesel (ppm)
-15%p.y.
3.2 2.3 1.1 0.1 0.2

5 6 7 8 9 10 11 12 13 14 15
1.0 1.0
41
MARKET IN BRAZIL Free market follows international prices in the long term
160 140 120 100 80 60 40 20
2002-2011
US$/bbl
ARP USA ARP Brazil
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
42
Natural Gas, Electric Energy and Fertilizers

US$13.2 billion
43
GAS, ENERGY, AND GAS-CHEMICALS; 2011-2015 US$ 13,2 billion in gas pipelines, LNG regasification, power and fertilizers
2011-15 Investments US$13.2 billion
6%
2%
0,8 0,8 0,3 0,3

3,4
Investment cycle in the expansion of the transportation network to be completed by 2011

26%
New city gates and negotiation with distribution companies aiming to increase the sales and establish different contract types Investment in thermal power generation
21%
3,4
5,9 5,9
45%
2,8
Investment in LNG for the pre-salt gas production transportation and to supply the thermal power market investment in natural gas conversion into urea, ammonia, methanol and other gas-chemicals products
Network Gas-chemicals plants (Nitrogenized) LNG
Electric Energy International

2,8
3,4
44
2ND INVESTMENT CYCLE: MONETIZATION OF THE PRE-SALT RESERVES

1st Investment Cycle COMPLETED
Acquisition TPPs LNG Pecm LNG BGUA Cubato TPP Biofuel Conversion Termoau Ammonia Sulfate (May/13)
2nd Investment Cycle 2011-2015 BP 2011UFN III (Sep/14) UFN V (Sep/15)
ARLA 32 (out/11) UFN IV (Jun/17)
% of total investment
Gasduc III Gasbel II Regs Bahia Gasene Pilar-Ipojuca New NG TPPs (Jan/14)
Cacimbas-Vitria Catu-Pilar Atalaia-Itaporanga
Japeri-Reduc Gascav Gascar Urucu-Manaus Gastau Gaspal II Gasan II UPGN Cabinas 2nd Route PreSalt (Aug/14) NG Comps + City gates + Network Maintenance
Adjustment of the Gas Pipeline Network (US$ 3.34 bi) New NG TPPs (US$ 1.82 bi) LNG regasification (US$ 0.74 bi) Chemical Transformation of NG (US$ 5.85 bi)
TPP Commitments (US$ 0.94 bi) Renewable Energy: Wind Power and Biomass (US$ 0.02 bi) Natural Gas Liquefaction (US$ 0.10 bi)
45
INCREASING DEMAND New units to consume higher natural gas production

Fertilizer Production Generation Capacity
UFN IV (Jun/2017)
4.000
UFN V (Sep/2015) UFN III (Sep/2014)
30 2,936 25
11,000 9,000
9,475
70
Million cm/d
Thous.ton /year
3.000 2,271 2.000 1,109 1.000 3 291 2011 Ammonia 6 813 813 13
20 15 10 5 -
6,518
7,000 MW 5,000 3,000 1,000 6,098 420 30
7,114
420 34
581 44
60 50 40 30
Million cm/day
8,894 6,694
20 10
0 2015 Urea 2020 Natural Gas Consumption
-1,000
2011 UTE
2015 Renewable
0 2020 Natural Gas Consumption
Brazil currently imports 53% of its total ammonia consumption and will be self-sufficient in 2015 Brazil currently import 53% of the total urea consumed. This amount will reduce to 28% in 2015, 16% in 2017 and 22% in 2020
46
SUPPLY & DEMAND (MILLION M3/D) Increasing supply of associated domestic gas and flexible demand
PCS 9.400 kcal/m
SUPPLY
102 78 55
6 49 69 9 93 9
DEMAND
Thermal Power Plants Demand: Petrobras + Third parties
Domestic NG Supply
North Region
Other Regions
38 (6.7 GW)
59 (10.7 GW)
76 (15.1 GW) To be contracted (5.5 GW)
25
2015 2020 2011
37
13 2015
40
Flexible Inflexible
2011
2020
Supply via LNG Regasification Terminals
LDC Demand
21 14 2011
41 14 20 2015
41 14 20 2020
Bahia Pecm Guanabara Bay 2011 2015 2020
Non-thermal power
Bolivian Supply
Petrobras Demand: Downstream + Fertilizers

61 39 Fertilizers 16 Flexible 17 2011 25 2015 Firm 32 2020 UPGN Downstream
30 24 2011
30 24 2015
30 24 2020
106
149
173
Total Supply
96
151
200
Total Demand 47
US$18.2 billion
International
Distribution
Biofuels
48
BIOFUEL INVESTMENTS Priority for ethanol in partnership with private companies

INVESTMENTS US$ 4.1 billion
7% 14% 0.6 1.9 1.3 47% 0.3
Ethanol Ethanol Logistics Biodiesel R&D
32%
Ethanol supply (million m)

Market-share Pbio+Partners: 2011: 5.3% 2015: 12%
273%
Biodiesel supply (000 m)

5.6 Market Share Pbio+Partners: 2011: 28% 2015: 26%
16%
855
735 1.5
2011
2015
2011
2015
Pbio + Partners
Pbio + Partners
49
INVESTMENTS IN DISTRIBUTION
2011/15 Investment US$3.1 billion
Mercado Automotivo Gas Stations
Wholesales Consumers Mercado Consumidor
21% 42%
Operaes e Logstica Operations & Logistics Liquigs Company Liquigas Internacional International
18% 6% 13%
Share in the automotive and global markets

50 40 30 20 10 0 2009 2010 2011 2015
38.6
38.8
38.5
40.6
30.6
30.9
31.3
33.7
Automotive Market (%)
Global Market (%)
50
INTERNATIONAL INVESTMENTS Focus on offshore projects in promising basins

US$11 billion
Gulf of Mexico
Key Projects:
3%
E&P G&E RTCP Distribution Corporate
7%
1% 2%
Cascade / Chinook Saint-Malo Tiber
87%
Africas West Coast

Key Projects: Nigria Akpo Agbami Egina
Latin America
Key Projects: Bolivia San Alberto / San Antonio Supply the Brazilian market Peru Natural Gas Project Lots 57 and 58 Oil Production Lot X Argentina Keeping the existing assets
Angola Block 26
51
Final Considerations
52
HUMAN RESOURCES
85.417 24.347
Projeo de Labor Force Forecast PetrobrasEfetivo do Sistema Petrobras

103.030 96.953 89.201 92.693 28.608 25.528 26.722 27.985
BP 2011-2015 requires additional personnel 51% of the workforce with less than 10 years, while 46% with more than 20 years
68.968 74.422
61.070
63.673
65.971
2011
2012 Controladora Parent
2013
2014
2015
35.000 30.000 25.000
3000
Outras Empresas do Sistema Petrobras Group Other companies in Petrobras
a te stim E
Company
2500 2000
Production (thousd. bbl/d)
55%
E&P workforce
20.000 1500 15.000 1000 10.000 5.000 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 500 0
E&P Segment will lead workforce increase in line with production growth
Position in Jan/11
Workforce Efetivo
Production Produo
53
TECHNOLOGY MANAGEMENT Complete integration with suppliers, research institutions and other oil companies
International Research Centers Other operators Suppliers
Brazilian Universities and Research Centers
Expenditures: US$1.3 billion / year Four R&D centers of Petrobras suppliers under construction In order to meet local content requirements, several companies will develop technological centers in Brazil
54
55

Plan Petrobras Londres

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Plan Petrobras Londres

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Documento descargado en www.HidrocarburosBolivia.

Jos Sergio Gabrielli

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BRAZIL LEADERSHIP IN RECENT DISCOVERIES

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Source: PFC Energy

INCREASE IN SALES VOLUMES

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Interna ti ona l Sa l es (*)

1,739 1,453 1,078

BP 2011-15 - Petrobras Total Sales Volume

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2011-15 Business Plan

US$224.7 billion 2% 2% 1% 2,4 1% 6% 2.4 2,3

65,5 65,5 70.6

RTM RTC Petrochemicals Petroqumica

(*) US$22.8 billion in Exploration

Distribuio Distribution Corporativo Corporate

5% of investments will be made overseas, 87% of which in E&P

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(R$ 388.9 billion)

US$ 224 billion

US$ 224.7 billion

8.6 1.5 (23.7) (0.6) (6.4)

Total in Foreign Currency Total in Local Currency

KEY CHANGES IN PORTFOLIO Reassignment of E&P investments

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Projects concluded in 2010

Projects concluded in 2010

Excluded, Revised and/or Postponed Projects

Excluded, Revised and/or Postponed Projects

Excluded, Revised and/or Postponed Projects

INVESTMENTS AND PROJECT APPROVAL TIMELINE

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CONSOLIDATED RETURNS E&P drives results

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Integrated companies deliver better returns

Integrated Integradas CompanhiasCompanies

Companhias de E&P E&P Companies

Companhias de Refino Downstream Companies

Source: selected company data

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OIL PRICE Oil price assumptions within market's expectations

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Key variables for Cash Generation and Investment Level

Debt Amortization Investments

40% of capex in dollar in comparison to 37% in the previous Plan

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Exploration & Production

STRATEGY Sustainable development of hydrocarbon reserves

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E&P INVESTMENTS IN BRAZIL 2011-15 BUSINESS PLAN

E&P investments in Brazil: US$117.7 bn

Pre-Salt US$ 53.4 billion

Post-Salt US$ 64.3 billion

65% Production Development

Other areas 48%

Annual investments of more than US$ 4 billion in exploration

Petrobras can more than double production in the next decade

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2,386 000 boe/day

+10 Post-Salt Projects +8 Pre-Salt Projects +1 Transfer of Rights

4,910 3,070 845

Added Capacity Oil: 2,300,000 bpd