Petróleo Brasileiro S.A. - Petrobras (PBR) Q2 2023 Earnings Call Transcript

For the period ending June 30, 2023

August 4, 2023 9:30 a.m. ET

Prepared Remarks

Questions and Answers

Call Participants

Prepared Remarks:

Operator

Good morning everyone. Welcome to Petrobras webcast with analysts and investors regarding our Results for Q2 of 2023. It's a pleasure to be here today. This event will be presented in Portuguese with simultaneous translation into English. The links for both languages can be found on our Investor Relations page. We would like to inform that all participants will follow the broadcast over the internet as listeners. After our intro, we will have a Q&A session where you can send your questions to petroinvest@petrobras.com.br.

Today with us we have Carlos Travassos, Chief Engineering, Technology and Innovation Officer; Clarice Coppetti, Chief Corporate Affairs Officer; Claudio Schlosser, Chief Logistics, Commercialization and Market Officer; Joelson Falcão Mendes, Chief Exploration and Production Officer; Mário Spinelli, Chief Governance and Compliance Officer; Maurício Tolmasquim, Chief Energy Transition and Sustainability Officer; Sergio Caetano Leite, Chief Finance and Investor Relations Officer; and William França, Chief Industrial Processes and Products Officer. To initiate we will watch a video with a message from our President, Jean Paul Prates.

Jean Paul Prates

Good morning. It is an honored to be here again to share our results with all of you. It has been six months of achievements and accomplishments, which reflect the quality of the work that we are doing within Petrobras. In this first semester of management, we were able to establish a new commercial strategy that is producing the results we wanted so much, more flexibility and competitiveness for fuel prices. At the same time, we are committed to leading the energy transition in the country in a fair, safe, and inclusive way driven by partnerships we are building with companies of technical excellence and by the growing decarbonization of our operations. One of these results is the neutralization of Scope 2 emissions since all electricity purchased by Petrobras now has a proven renewable origin. It is important to highlight that we approved the revision of the strategic elements for our 2024-2028 strategic plan, as well as the driver to increase low carbon investors to up to 15% of our total investments.

In the operational side, FPSO's Anna Nery in the Campos basin and Almirante Barroso in the Búzios field started up production. FPSO's Anita Garibaldi and Sepetiba are expected to join them soon, helping us to continue increasing pre-salt production. The utilization factor of our refineries reached 93% with the highest level since 2015, even with several scheduled shutdowns at our refineries, respecting safety, environment and health issues. And we achieved record sales in the first half with 10-ppm diesel accounting for 62% of the total diesel sales of Petrobras.