This excerpt taken from the PBR 6-K filed Dec 22, 2009.
Equity acquisition of ethanol plant
Rio de Janeiro, December 22, 2009 – Petróleo Brasileiro S.A. – Petrobras, announces that its wholly-owned subsidiary Petrobras Biocombustível S.A. executed a capital contribution of R$ 150 million at Total Agroindústria Canavieira S.A. (Total) holding, as a result, 40.4% of participation at the company's stock.
Total owns an ethanol plant located in the municipality of Bambuí, in the State of Minas Gerais, with capacity to produce 100,000 cubic meters of hydrated ethanol per year. The partnership views to increase the capacity of the plant to 203,000 cubic meters per year and to generate a surplus of 38.5 MW of electric power to market by using the sugar cane bagasse.
The participation of Petrobras Biocombustível in ethanol and electric power plants is in line with Petrobras' Strategic Plan for the biofuels segment, which contemplates ethanol production and distribution targets.
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.
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Date: December 22, 2009
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