Prates rebuts Silveira and says that ‘it’s no use screaming in the newspaper, no grimace, no smile’ By Estadão Content

2023-06-23 02:37:17

© Reuters Prates rebuts Silveira and says that ‘it’s no use screaming in the newspaper, no grimace, no smile’

The president of Petrobras (BVMF:), Jean Paul Prates, countered this Thursday, the 22nd, the criticism he has been receiving from the Minister of Mines and Energy, Alexandre Silveira, in relation to the supply of oil in the country. Silveira has already called Petrobras negligent for reinjecting the gas into its operations instead of offering it to the market, and went so far as to say that it was no use for the executive to turn a blind eye.

“Between pleasing Jean Paul and fulfilling the government’s commitment to Brazilian society, to generate jobs and fight inequality, I prefer that he frown, but that we can achieve success in public policy”, said the minister last week.

According to Prates, “it’s no use just yelling at the newspaper, or thinking that one is laughing too much and the other is grimacing. It’s no use either a grimace or a smile, it’s worth working together and converging”, said Prates during a press conference at the National Bank for Economic and Social Development (BNDES) alongside the bank’s president, Aloizio Mercadante. The two executives announced the creation of a technical cooperation commission to develop Petrobras’ investments.

Prates explained that Brazil was favored by , but does not have large natural gas reserves. He went back to saying that Brazil’s reserves are only 12 FTCs (trillion cubic feet), while the United States has 450 TFCs; Qatar, 800 TFCs; and Russia 1,300 TFCs.

“If there is no gas for all segments, let’s work on the mix (of energy supply) instead of creating controversy where it doesn’t exist,” stated Prates.

The minister launched “Gas to Employ”, in the wake of other government programs that did not work out, such as “Gás para Crescer” and even an older one in the Fernando Henrique Cardoso government, to encourage the use of gas in thermal plants.

Conflicts between the Minister of Mines and Energy and the president of the state-owned company began since the beginning of the government, when Prates stated that the company’s board would evaluate the assets that would come out of the divestment program and Silveira sent a letter suspending all sales.

Another confrontation took place in the formation of the directorate and Board of Directors of the state-owned company in the new management. Silveira wanted to place names of his trust in the positions of both bodies, but had to settle for seats on the Board, while Prates chose his own board.