Rio, December 2, 2002 (Agência Brasil – ABr) – The president of Petrobras, Francisco Gros, says that the biggest challenge facing the firm is maintaining management excellence so it can continue to reduce the costs of raising capital. Gros said that although Petrobrás pays lower spreads than the Brazilian government, the cost of capital is still high.

Gros called Petrobras an extraordinary machine for investing and creating jobs and riches for Brazil. "Our investment horizon stretches to 2006, with a forecast of US$32 billion, 77% of which will be spent in Brazil. And 86% of those investment funds will come from our own resources," explained Gros. (AB)