Categotry Archives: Brazil

As convincing as Fred up front

This story raises more questions than it provides answers: A federal judge in Brazil has reportedly sentenced the former vice president of local engineering firm Mendes Junior to 19 years and four months in prison for his role in the massive kickback scheme. Judge Sergio Moro convicted Sergio Cunha Mendes of corruption, money laundering and racketeering for the payment of 31.5 million reais ($8.3 million) in bribes to obtain contracts with state-run oil company Petrobras, Reuters reported. Okay, so somebody […]

Petrobrassneck

Well, fancy that: The initial report of a Brazilian congressional investigation into corruption at state-run Petrobras concluded late Monday that the company and politicians did no wrong, and that suppliers and rogue employees were responsible for graft, according to a report. Thank heavens for that!  When the CEO and senior executives of Petrobras resigned in February, I pessimistically thought Brazil had sunk into the mire of corruption and graft that seems to plague South American countries in perpetuity. But it turns […]

Going, going, BGone

Four days ago, on 7th April, BG CEO Helge Lund – who had joined the company only in February – outlined his strategy for the company: Lund acknowledged that BG had sustained “operational setbacks” over the past two years, having been hit by lower liquefied natural gas exports from Egypt and construction challenges and cost overruns on its Queensland Curtis LNG (QCLNG) project in Australia. He said “we must take account of the lessons learned from these experiences as we […]

Petrograft

It’s difficult to overstate the seriousness of the impact the Petrobras corruption scandal will have on Brazil’s oil and gas industry, with even top politicians now being accused of involvement in an enormous kickback scheme. Until this scandal broke, there were hopes that Brazil was breaking away from the South American tradition of oilfield development going hand-in-hand with corruption and mismanagement, resulting in stagnation of the whole industry.  With Brazil choosing to channel the bulk of its future development through […]