Petroleo Brasileiro (Petrobras) has signed a US$400mn financing agreement with Crédit Agricole for the import of UK goods and services.
Backed by UK Export Finance (UKEF), the working capital line will facilitate imports for the Brazilian state-owned company’s oil and gas projects. The contract, signed through subsidiary firm Petrobras Global Trading BV, stands until 2029.
As part of the deal, UKEF will provide export credit guarantees for the orders financed under the deal. The first confirmed supplier is Baker Hughes, a GE company manufacturing subsea equipment. A UKEF spokesperson tells GTR the agency will be “supporting orders worth hundreds of millions” of pounds for the oilfield service company, thus “supporting the UK manufacturing sector and skilled jobs in the North East”.
The deal comes as Petrobras’ president Pedro Parente has signed an agreement with Robert Dudley, president of the British multinational oil and gas company BP, affirming the two firms’ commitment to negotiating non-exclusive investment in oil and gas projects in Brazil and further afield. Under the partnership, the two companies will also collaborate on risk sharing, technology exchange and best practice in corporate governance.