Petrobras to Invest $800 Million in Technology Next Year

Petroleo Brasileiro SA, Brazil’s state-controlled oil company, plans to invest $800 million next year in offshore drilling technology to tap both aging fields and new areas, said Carlos Alberto Pereira, head of technology for the company’s international operations.

Rio de Janeiro-based Petrobras is focusing on drilling wells faster, developing new computer software and materials to build deep-sea wells and platforms and cutting transport costs, Pereira said today in an interview in Lima.

“We’re rethinking everything to drill in fields at lower costs even in tough conditions,” Pereira said. “We’re developing new technology to be able to develop the pre-salt region without problems.”

Petrobras aims to invest $224 billion through 2014 to develop oil reserves including the Tupi and Libra fields in a deep-water region known as the pre-salt along Brazil’s coast. Pereira said the company aims to start drilling a third well next month in its Block 58 natural-gas field in Peru, an area the Andean country’s government believes may hold as much as 5 trillion cubic feet of natural gas.

Petrobras rose 2.4 percent to 25.17 reais at 3:25 p.m. in Sao Paulo trading. The stock has dropped 31 percent this year.

To contact the reporters on this story: Alex Emery in Sao Paulo at aemery1@bloomberg.net.

To contact the editor responsible for this story: Dale Crofts at dcrofts@bloomberg.net

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