New Petrobras Head Pledges Investor Returns After CEO Upheavel

The CEO of Petrobras, Magda Chambriard, addressed investor concerns about increasing investments in her first public statements since taking office. Chambriard’s appointment comes at a time when investors are worried about government interference in Petroleo Brasileiro SA, with her predecessor being dismissed due to a disagreement over dividend payments instead of using the funds for investments. Chambriard assured shareholders, both private and governmental, that Petrobras is capable of delivering returns and acknowledged the importance of profitability.
President Luiz Inacio Lula da Silva has expressed his desire for state-controlled Petrobras to increase its investment in sectors such as refining and job creation. The government holds the majority of voting shares, giving it control over the oil producer’s board.

During Lula’s presidency, Petrobras has shifted its focus from cost-cutting measures implemented by the previous administration. The company has halted its program to sell a group of refineries and is considering the possibility of repurchasing some of the facilities that were previously sold under different management.