This excerpt taken from the PBR 6-K filed Aug 15, 2007.
The Plan calls for investments of US$ 112.4 billion until 2012, representing an annual average of US$ 22.5 billion, being 87% (US$ 97.4 billion) in Brazil and 13% (US$ 15.0 billion) overseas. This amount represents an increase of 29% compared with the previous Plan.
The highlights of the investments in Brazil are represented by the growth in Exploration and Production (an increase of 32%), Downstream (an increase of 35%) and Petrochemicals (an increase of 30%). The Plan also places an emphasis on biofuels which will receive investments of US$ 1.5 billion.
Investments in the international operations will focus largely on the area of Exploration and Production particularly in Latin America, West Africa and the Gulf of Mexico.
The growth of investments is due to: US$ 13.3 billion in new projects, US$ 10.9 billion for the increase in costs due to increased market demand for sector equipment and services, US$ 4.2 billion due to local currency appreciation and the remainder with respect to other factors such as changes in the project scope, in the business model, etc.
This document may contain forecasts that merely reflect the expectations of the Companys management. Such terms as anticipate, believe, expect, forecast, intend, plan, project, seek, should, along with similar or analogous expressions, are used to identify such forecasts. These predictions evidently involve risks and uncertainties, whether foreseen or not by the Company. Therefore, the future results of operations may differ from current expectations, and readers must not base their expectations exclusively on the information presented herein.