Rolls-Royce to Spend $200 Million on Brazil Pre-Salt, Valor Says

Rolls-Royce Holdings Plc (RR/) plans to invest as much as $200 billion in projects linked to Brazil’s pre-salt oil reserves, Valor Economico reported, without saying where it got the information.

The investment relies on the company winning contracts with Petroleo Brasileiro SA (PETR4), building a plant in the city of Rio de Janeiro to produce turbo power generators for oil platforms, and opening a training center close to the factory, the Sao Paulo- based newspaper said.

Francisco Itzaina, Rolls-Royce’s chief executive officer for South America, confirmed that Rio de Janeiro is one of the company’s main focus points in Brazil, because of the importance of the oil and gas industries, Valor said.

Rolls-Royce intends to increase the proportion of local parts it uses, Itzaina told Valor.

To contact the reporter on this story: Karen Eeuwens in London at keeuwens@bloomberg.net

To contact the editor responsible for this story: Katerina Petroff at kpetroff@bloomberg.net

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