MercoPress. South Atlantic News Agency

Petrobras half century.

Petrobras the giant Brazilian government oil complex celebrates this week its fiftieth anniversary.

Created in October 1953 by President Getulio Vargas Petrobras currently has oil reserves equivalent to 15 billion barrels and is one the world's leading companies in underwater exploration and exploitation technology.

A symbol of Brazilian national power and pride, Petrobras during the last few years has changed radically by opening to foreign investment and focusing into becoming a global energy corporation and not only a hydrocarbons producer.

"The Brazilian government still holds 34% of shares in Petrobras and the company's policy is geared to assets diversification to ensure a synergy of activities. For example we're about to begin operations in Iran and we recently purchased Argentina's second oil company Pecom", said Nestor Cuñat Cervero Director of Petrobras International Services.

Mr. Cuñat Cervero also recalls that in the seventies "we helped develop Irak's oil industry and the largest producing well was drilled by Petrobras".

"In Argentina we're looking into offshore exploration prospects although we have yet to find signals that justify such investments", added Mr. Cuñat Cervero.

Regarding Argentina's 21 months long current freeze of public utility rates and natural gas price at the well Mr. Cuñat Cervero underlined, "Petrobras acts within the framework of the law and we're not encouraging any claim or petition before the government".

For oil dependent Brazil Petrobras has proved a formidable tool: production has been increasing at an annual rate of 9,8%, compared to the average 1% for the world's leading corporations, and this has been achieved overwhelmingly offshore working in waters up to 3,000 metres deep.

Petrobras main source of oil is the Campos Basin offshore Rio do Janeiro where 81% of the country's daily 1,6 million barrels production is extracted.

"Given our knowledge of the geology of the Campos Basin area, it's like angling in a fishing bowl" confesses Mr. Cuñat Cervero.