Petrobras (PBR)

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.

www.petrobras.com.br/ri/english
Contacts: PETRÓLEO BRASILEIRO S. A. – PETROBRAS
Investor Relations Department I E-mail: petroinvest@petrobras.com.br / acionistas@petrobras.com.br
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