Petrobras Deepens China Tie With $3.5 Billion Loan Deal
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Petroleo Brasileiro SA, the world’s most indebted oil producer, is bolstering ties to China as a corruption scandal has shut the company out of international bond markets.
Petrobras, as Brazil’s state-run producer is known, signed a finance contract with the China Development Bank for $3.5 billion, the first part of an accord to be implemented this year and in 2016, according to a regulatory filing Wednesday. That follows the entrance of two Chinese oil companies in Petrobras’s biggest project in 2013 and a $10 billion cash-for-oil agreement in 2009.