Sete Brasil S.A. (Sete BR) was formally set up last Friday, May 13, in São Paulo. In partnership with Estaleiro Atlântico Sul (EAS) shipyard, it will take on the contract for the construction of seven offshore drilling rigs, the first ever built in Brazil, intended to meet the needs of Petrobras’ long-term drilling program for pre-salt wells. The new rigs are slated to come on stream in 2015.

Petrobras’ CEO, José Sergio Gabrielli de Azevedo, the Company’s CFO and Investor Relations officer, Almir Barbassa, the CEO of Sete BR, João Carlos Ferraz, and representatives from the Santander, Bradesco, BTG Pactual, and Caixa Econômica Federal banks, as well as Previ, Petros, Funcef, Valia, and Lakeshore Financial Partners Participações, attended the contract signature ceremony. Sete BR’s shareholders include Petrobras, banks and pension funds. Petrobras’ interest in the company will be less than 10 percent, and corporate governance is to be proportional to the stock held by each investor.

During the event, Petrobras’ CEO emphasized the “great challenges and opportunities this new company will face, capable of transforming the oil and gas industry in Brazil. This is a company with enormous potential, not only because of demand from Petrobras, but also from the entire industry,” concluded Gabrielli.

In order to finance rig construction, Sete BR will have both its own capital, provided by the partners, and long-term funding from BNDES, which will finance the Brazilian part of the goods and services required to build each rig. Funding will also be provided by export credit agencies in countries producing the imports required, as well as the commercial banks.

Source: Petrobras, May 17, 2011.