novelonline Chapter 725 Offshore Oil Field
Chapter 725 Offshore Oil Field
() Moreover, an oil field with astonishing reserves can also attract a large amount of foreign capital, which plays a non-negligible role in boosting Brazil's economic development.It can also enhance national self-confidence and improve the country's international status... All in all, for any country, the more oil, the better. Even if it can't be used by itself, it can also be used for export.
Moreover, as the first government official to come into contact with Fang Mingyuan, Pimenyar himself will gain amazing political capital from it!As for other personal benefits, there is no need to say.
"Well, the government of our country can approve... Your family's oil company and Petrobras jointly invest in mining. What do you think of this condition, Mr. Fang?" Minister Pimenyar asked after a moment of pondering.
"How many shares can we own?" Fang Mingyuan said casually.
"It cannot exceed 20.00%." Minister Pimenyar replied immediately.The lack of self-sufficiency in oil and the need to spend a large amount of foreign exchange to import from abroad used to be one of the important factors restricting Brazil's economic development. This became more obvious after the two oil crises broke out in the last century.Brazil, with its weak economic foundation, naturally cannot rely on strategic reserves and market reserves to ensure oil supply security like developed countries in Europe and the United States, so it has to give full play to its advantages in agricultural resources to develop biomass liquid fuels.Only those who have truly experienced the pain of oil shortage will cherish the hard-won crude oil resources more and more.
"20.00%?" Fang Mingyuan tilted his head, and said with a half-smile, "Minister Pimenyar, are you sure you can only hold 20.00% of the shares at most?"
Minister Pimenyar's heart shuddered. He felt that although Fang Mingyuan's face was smiling, there was a bit of chill underneath that smile. 20.00% of the shares, is it really a lot?
According to the law "Petroleum Law" promulgated by Brazil in [-], within the territory of Brazil, the industrial operation activities of oil exploration, development, production, wholesale and retail are all state monopoly, and all the above-mentioned oil business activities in Brazil Foreign companies must establish a company headquartered in Brazil in accordance with Brazilian laws, and only after the relevant departments of the Brazilian government agree or approve the franchise can they engage in the above-mentioned economic activities under the supervision of federal laws.
In Brazil, the specific supervisory authority of the oil industry is the National Petroleum Administration, which belongs to the Ministry of Mines and Energy-it is the official management department of oil.The National Energy Council is the formulation and decision-making body of Brazil's oil policy.According to the provisions of this law, there are currently more than [-] foreign companies engaged in exploration, development, production, wholesale and retail in Brazil, including Chevron Petroleum Corporation of the United States, ExxonMobil Petroleum Corporation of the United States Corporation, British Petroleum Corporation and many other large international oil multinational conglomerates.
Among these companies, it can be said that there are many companies that have established joint ventures with Brazil for oil exploration, development, and production subsidiaries, and have more than 20.00% of the company's shares.Because according to Brazilian law, oil companies must have at least 30.00% of Brazilian capital!
Minister Pimenyar hurriedly said: "Mr. Fang, please don't get me wrong. What I mean is that with my personal authority, I can only promise to give you 20.00% of the shares in your company. No matter how high the shares are, I will promise you. It has to be discussed again, and I can't guarantee what the final result will be." Fang Mingyuan laughed twice, but didn't say anything.But Minister Pimenyar felt that his vest was a little wet with sweat—he was only thinking about holding more oil field resources in his own hands, but he ignored it. What would happen if Fang Mingyuan was not satisfied with such a condition? ?
Minister Pimenyar has no doubt that Fang Mingyuan has the ability to get rid of himself and find other people to cooperate in the Brazilian government. As for the significance of an oil field with huge reserves to Brazil, he, the Deputy Minister of Mines and Energy, is more important than most people. all clear.He also understands better that if this matter is brought up in front of any far-sighted government officials, they will never let go of this rare opportunity to achieve great political achievements.
"Then, Minister Pimenyar, how many shares do you think your country's government can grant to Pingchuan Petroleum Group?" Fang Mingyuan said indifferently.He naturally knew Minister Pimenyar's little thoughts, but he didn't intend to tear his face.
Minister Pimenyar thought about it for a long time, and then said: "Mr. Fang, may I ask, are you really sure that there is an oil field with huge reserves in our country?" He didn't understand how Fang Mingyuan was sure of this , I haven't heard of any new oil companies joining in oil exploration in Brazil recently.
"I'm sure!" Fang Mingyuan replied firmly.
"Then is it an onshore oil field, or an offshore oil field, a deep sea oil field, or a shallow sea oil field?" Minister Pimenyar continued to ask.
"What if it's a deep sea oil field, and what if it's a shallow sea oil field?" Fang Mingyuan asked rhetorically.Although Fang Mingyuan didn't answer directly, Minister Pimenyar already knew in his heart that it seemed to be an offshore oil field.
"Mr. Fang, I think you are also very clear that the exploitation cost of deep-sea oilfields is much higher than that of shallow-sea oilfields. And if the exploitation cost of oilfields is higher than the current price of crude oil in the international market, at least at present, it is not The value of mining.” As the deputy minister of the Ministry of Mines and Energy, Minister Pimenyar knows very well that although Petrobras has been continuously researching and developing over the years, it has already possessed advanced underwater oil drilling and production technologies. It can even carry out oil extraction operations on the seabed with a water depth of more than 2000 meters.But this can't change the reality of high cost and high risk of deep sea drilling and oil production!
He had to consider that if this was a deep sea oil field, then its value would be greatly reduced.
Fang Mingyuan waved his hand and said, "Whether the oil field has any development value is determined by the price of crude oil in the international market. And the price of crude oil in the international market fluctuates. There is no development value at present, which does not mean that it will be in three or five years. , still has no value in mining. And at that time, if you start construction again, maybe when you get oil, the price of crude oil will fall again?"
Minister Pimenyar spread his hands helplessly and said, "Although I really want to refute you, this is indeed the case!" In the international market, how many people can accurately grasp the fluctuations of crude oil prices?Who would have imagined that just a few years ago, the price of crude oil in the international market had fallen below ten dollars per barrel? rs