Petrobras (PBR)

Total capital spending for PETROBRAS totaled R$ 22.637 million during the first nine months of 2006 (34% above the same period of the prior year), of which R$ 11.404 million was invested to expand the future capacity of oil and gas production in Brazil

• Consolidated net operating revenue totaled R$ 43,363 million in the 3Q06, representing a 21% increase versus 3Q05.
  
  
• Third quarter consolidated net income reached R$ 7,085 million, 26% higher than the same quarter of 2005. This increase was mainly due to higher prices realized for oil products in the domestic market, including diesel, gas, and naphta, as well as higher volumes of exported oil.
  
  The tax benefit from provisioning for interest on capital increased profitability by R$ 1,492 million in 3Q06.
  
  
• Domestic crude oil and NGL production in 3Q06 reached an average of 1,779 thousand barrels/day, of which 82% was from the Bacia de Campos (1,455 thousand barrels/day), representing a 3% increase over the 3Q05.
  
  Total oil, NGL, and natural gas production, from both domestic and international sources, averaged 2,301 thousand barrels of oil equivalent per day during the third quarter.
  
  
• As of September 30, 2006, net indebtedness for the PETROBRAS system was R$ 19,619 million, 6% lower than reported on June 30, 2006 (R$ 20,808 million). This decline reflects increased levels of operating cash generation during the quarter, which exceeded the company’s net debt.
  
  
• Value added by PETROBRAS during the period from January to September 2006 was R$ 92,955 million, 13% higher than in the same period of 2005. Of this, R$ 55,026 million went to government take, as well as federal, state, and municipal taxes, R$ 8,349 million to suppliers and institutional financers for financial charges, rent and charters, with R$ 21,970 million to shareholders and R$ 7,610 million for salaries, benefits and charges.

Total capital spending for PETROBRAS totaled R$ 22.637 million during the first nine months of 2006 (34% above the same period of the prior year), of which R$ 11.404 million was invested to expand the future capacity of oil and gas production in Brazil

• Consolidated net operating revenue totaled R$ 43.363 million in the 3Q06, representing a 21% increase versus 3Q05.
  
  
• Third quarter consolidated net income reached R$ 7.085 million, 26% higher than the same quarter of 2005. This increase was mainly due to higher prices realized for oil products in the domestic market, including diesel, gas, and naphta, as well as higher volumes of exported oil.
  
  
  The tax benefit from provisioning for interest on capital increased profitability by R$ 1.492 million in 3Q06.
  
  
• Domestic crude oil and NGL production in 3Q06 reached an average of 1,779 thousand barrels/day, of which 82% was from the Bacia de Campos (1,455 thousand barrels/day), representing a 3% increase over the 3Q05.
  
  Total oil, NGL, and natural gas production, from both domestic and international sources, averaged 2,301 thousand barrels of oil equivalent per day during the third quarter.

• As of September 30, 2006, net indebtedness for the PETROBRAS system was R$ 19.619 million, 6% lower than reported on June 30, 2006 (R$ 20.808 million). This decline reflects increased levels of operating cash generation during the year, which exceeded the company’s net debt.
  
  
• Value added by PETROBRAS during the period from January to September 2006 was R$ 92.955 million, 13% higher than in the same period of 2005. Of this, R$ 55.026 million went to government take, as well as federal, state, and municipal taxes, R$ 8.349 million to suppliers and institutional financers for financial charges, rent and charters, with R$ 21.970 million to shareholders and R$ 7.610 million for salaries, benefits and charges.