Petrobras looks set to switch executive director of engineering

Brazil's Petrobras’ executive director of engineering, technology and innovation, Carlos Travassos, is unlikely to remain in his post, three sources familiar with the matter have told BNamericas. 

Other executive directors are also at risk of losing their jobs, after the change in the state-run firm’s presidency in May. 

One of the reasons for the dismissal of former CEO Jean Paul Prates was Brazilian President Luiz Inácio Lula da Silva's dissatisfaction with the pace of resumption of engineering works around the country. 

His replacement Magda Chambriard "has been tasked with speeding up work on refining and fertilizers. In the case of FPSOs, there isn't much to do in the short term, since the recent contracts will all be carried out abroad,” one source told BNamericas on condition of anonymity.  

“As well as being considered aligned with the Prates, Travassos is accused of delaying the start of work.”

Another source said that Travassos has always publicly misaligned himself with the government, as in the case of the local content policy. 

“If Prates fell for that reason, Travassos should be no different,” he said. 

According to another source, even Maurício Tolmasquim, Petrobras’ energy transition director, is in danger of being dismissed. 

“For sure, only Petrobras' chief of staff, Danilo Silva, from the FUP [the oil workers union], remains,” the individual told BNamericas. 

Alongside some sectors of the federal government, FUP – an important ally of Lula – also stopped supporting Jean Paul Prates due to the slower-than-expected resumption of Petrobras' investments in Brazil, contributing to his removal. 

One of Petrobras’ executive directors also told BNamericas that he and his peers continue to work normally. 

"All I know is what I read in the press. There've been no talks with us in this regard,” he said, asking not to be named. 

Petrobras did not reply when asked by BNamericas to comment on the matter. 

NEW LEGISLATION

On Tuesday, FUP said it is looking forward to an amendment to the electric mobility incentive bill Mover that addresses the creation of local content indices in oil and gas industry contracts. 

After being approved in the lower house and amidst wide-ranging criticism, the bill had the local content amendment excluded in the senate. Due to this and other changes, the proposal was sent back to the lower house, which is now reconsidering it. 

With the technical support of the national institute for strategic studies on petroleum (Ineep), FUP has drawn up proposals for the adoption of local content requirements. 

Within Petrobras, FUP recommends a reversal of the policy of contracting platforms under the charter modality to contracting its own units in the engineering, procurement and construction (EPC) modality. 

In the meantime, there should be a focus on building small vessels in Brazil, such as offshore support boats, with the guarantee of long-term financing from the BNDES. 

Currently, according to FUP, Petrobras' practice of short-term contracts favors the import of foreign vessels.

In the supply segment, FUP suggests the identification of some refinery units that would make the expansion of the local industry feasible, as well as future opportunities in the areas of biogas/biomethane and synthetic fuels.

According to FUP, the local content policy must also take into account the challenge of the energy transition, eyeing incentives for the nascent industry, with funding for research, development and innovation for new technological routes aimed at Brazil's potential and regional and national development.