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Lula’s Plan to Keep Petrobras State-Controlled Is a Mistake, Minister Says

  • Sachsida says privatizing Petrobras will take 3 or 4 years
  • Lula plans to reverse years of cost cuts, keep firm state-run
A motorcyclist arrives at a Petroleo Brasileiro SA gas station in Rio de Janeiro, Brazil.

A motorcyclist arrives at a Petroleo Brasileiro SA gas station in Rio de Janeiro, Brazil.

Photographer: Dado Galdieri/Bloomberg

Luiz Inacio Lula da Silva’s plan to keep Brazil oil giant Petroleo Brasileiro SA as a state-controlled company if elected again is a mistake, according to Energy Minister Adolfo Sachsida.

Former president Lula, the front-runner for the October elections, has been promising to reverse years of cost cuts at the company and expand domestic refining to make the country more independent from international oil prices.