...(International Ethanol & Petroleum) Investing in Brazilian Oil DARREN T. ARMSTRONG GLOBAL AND BUSINESS PRACTICES- BUSA 3000 DR. ILKE KARDES APRIL 23, 2015 1. Country Background Brazil is a country located in eastern South America, with a territorial size of 8,514,877 sq. km (square kilometers) and shares its borders with 10 other South American nations. These nations are; Argentina, Bolivia, Colombia, French Guiana, Guyana, Paraguay, Peru, Suriname, Uruguay, and Venezuela. Brazil has a national GDP of 2.246 trillion USD (2013), a GNI of 2.956 trillion USD (2013), a population of 200.4 million people (2013), which makes the country’s GDP Per Capita 11,208.08 USD and its GNI Per Capita 14,750 PPP USD (2013). Brazil’s national currency is the Brazilian Real (R$), trades 2.97 R$ to 1USD, and exchanged openly on the Forex market. Brazil is a country rich with natural resources. These natural resources include, Timber, sugar, coffee beans, quartz, diamonds, chromium, iron ore, phosphates, petroleum, mica, graphite, titanium, copper, gold, oil, bauxite, zinc, tin, and mercury. Brazil is also a member of several economic organizations, including Unasul, WTO, Mercosul, G-20 and the Cairns Group. Brazil has hundreds of trading partners, with 60 percent of its total exports made up of manufactured and semi manufactured goods. Mercosul, an economic and political agreement that includes Argentina, Paraguay, Uraguay and Brazil, encourages free trade...
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...Dilma’s Impeachment in the Economy Crisis Rousseff’s impeachment will benefit the economic confrontation in Brazil, considering she used money from state banks to fill in her budget, unemployment has led Brazil into a recession, and Brazil’s currency has lost ten percent of its value. However, Dilma is not to hold accountable for Brazils monetary issues, but as president, she has the responsibility to monitor financial issues. Rousseff’s is being accused of controlling state banks on financing government programs, including VAR Palmares known as a military organization and Petrobras Petroleum Company. It started when China stopped purchasing oil from Brazils oil and petroleum companies. In December 2015 Dilma Rousseff was charged with breaking...
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...Brazil is the second-largest producer of hydroelectric power in the world, trailing only China, and the country depends on hydroelectricity for more than 75% of its electric power supply. (shown in the graph below. Brazil is the 8th largest total energy consumer and 10th largest producer in the world. To address the country's dependence on oil imports and surplus of sugar cane, the government implemented policies to encourage ethanol production and consumption beginning in the 1970s. The world's largest oil discoveries in recent years have come from Brazil's offshore, presalt basins. Brazil has the third-largest electricity sector in the Americas, behind the United States and Canada. Brazil is currently experiencing its worst drought in 40 years, which has contributed to electricity blackouts in many Brazilian regions. Brazil has spent more than $5 billion to subsidize electric utilities replacing lost hydroelectric generation with fossil fuel-fired generation, including large amounts of liquefied natural gas. (which is shown in the graph in the recent increase in fossil fuels) Brazil was the largest producer of petroleum and other liquids in South America in 2013. Brazil is the second-largest producer of hydroelectric power in the world, trailing only China, and the country depends on hydroelectricity for more than 75% of its electric power supply. (shown in the graph below. Brazil is the 8th largest total energy consumer and 10th largest producer in the world. ...
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...environment, more and more business organizations have realized that the creativity and ingenuity needed to develop new products, provide better services, grow market share, and maintain a competitive advantage can best come through an effective practice of management science (Strohmeier n.d.). One of the known and established firms who have practiced and maximize the use of the management science application is the Shell Oil Company. The Shell Oil Company is an affiliate company of the petroleum-chemical giant firm Shell Group, a global firm that operates in more than 140 countries and territories worldwide and spans its operations in different subsidiaries and divisions. The Shell Oil Company, with its corporate office headquartered in Houston, Texas, is one of the leading oil and gas producer and distributor in United States. It operations covers production, refining and distribution of various oil, chemical and natural gas to various part of the country, and supplies almost a quarter of petroleum-chemical energy sources in the whole United States. From its earliest beginnings, The Shell Oil Company had been supplying fuel oil and gasoline products to various fuel...
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...Company Background According to Reuters (n.d.), Petrobras is the Brazilian oil and gas company that was founded in 1953 to engage in the exploration, production, refining, and transport of domestic petroleum and petroleum products. Originally a state-owned monopoly, Petrobras became majority-owned by the state but competes against other Brazilian companies as well as against foreign companies. Petrobras also forms partnerships with domestic and foreign companies, and is present on four continents and in more than 25 countries. The firm also operates 18 thermo power plants (both self-owned and leased) with an installed capacity of 6,136MW. Petrobras is considered as the world's fourth largest energy company. Its headquarters is in Rio de Janeiro, Brazil. The company’s worth, its industry, business and financial According to Americas (n.d.), Petrobras operates in five segments includes exploration, production, refining, and transport of domestic petroleum and petroleum products. Directly or through its subsidiaries, Petrobras is engaged in the research, extraction, refining, processing, commercialization and transport of oil from wells, shales and other rocks, its derivatives, natural gas and other liquid hydrocarbons, as well as in activities related to energy, promoting research, development, production, transport, distribution and commercialization of all forms of energy. Its products include petrochemicals, biofuels, gasoline, ethanol, lubricants, oils, asphalt, fertilizers...
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...Faculty of Business Studies Module: Presentation and Communication Skills Examiner: Dipl. Ök. Marina Alvares-Wegner The BRIC countries Leslie Authier Matr. No.: 7007017 E-Mail: leslieauthier@orange.fr Diana Carolina Ramirez R. Matr. No.: 7004479 E-Mail: dianacarolina_puebla@yahoo.de Maya Höpfner Matr. No.: 7003768 E-Mail: maya.hoepfner@googlemail.com Table of content 1 Introduction...................................................................................................... 2 2 The Federative Republic of Brazil .................................................................... 3 2.1 General information on the Federative Republic of Brazil....................... 3 2.2 Brazil’s connection with the European Union.......................................... 4 2.3 Brazil’s financial situation........................................................................ 5 2.4 Brazil’s imports and exports.................................................................... 6 2.5 Brazil’s leading companies ..................................................................... 9 3 The Russian Federation................................................................................. 10 3.1 General information on the Russian Federation ................................... 10 3.2 Russia’s connection with the European Union...................................... 11 3.3 Russia’s financial situation.................................................................... 12 3.4 Russia’s imports...
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...“FDI Strategy: Clean Harbors’ Entry Into Brazil” Student: Class: ITB 305 Professor: “FDI Strategy: Clean Harbors’ Entry Into Brazil” According to Clean Harbor’s website, Clean Harbors “is the leading provider of environmental, energy and industrial services throughout North America” (Clean Harbors, n.d.), located in Norwell, Massachusetts. Clean Harbors serves a multitude of entities, including several Fortune 500 companies, thousands of private firms, and scores of government offices on federal, state, and local levels. Perhaps Clean Harbor’s largest area of expertise is the management and recycling of hazardous waste produced by various industries, most notably it’s used oil recycling through its Satety-Kleen subsidiary. The company currently has substantial operations throughout North America, including the United States, Mexico, Canada, and Puerto Rico. Founded in 1980, it employs a workforce of 13,180 employees as of December 31, 2012 (Clean Harbors, n.d.). In addition to the management and recycling of hazardous waste, Clean Harbors also offers hazardous material management and disposal services including the collection, packaging, recycling, treatment and disposal of hazardous and non-hazardous waste, and a wide variety of environmental cleanup services on customer sites or other locations on a scheduled or emergency response basis (Clean Harbors, n.d.). While Clean Harbors has enjoyed success in the markets it currently operates...
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...States.) Petrobras When founded in 1953, Petrobras, Brazil's state-controlled oil company, was a vital symbol of national pride. "The oil is ours" was an oft-repeated slogan. The company was incorporated as a mixed-capital company1 with a government-granted monopoly for all crude oil and gas production, refining and distribution in Brazil. In 1997, Brazil enacted the so-called “Petroleum Law” to end the oil monopoly and open the oil and gas markets in Brazil to foreign investment. Restrictions on ownership by non-governmental entities of shares in Petrobras were lifted and foreign ownership of shares was permitted. In response to these changes, in August 2000, Petrobras was partially privatized through a listing of its shares (ADRs*) on the NYSE. As part of the company’s new strategy, it also sought additional opportunities to expand abroad. Petrobras’ International Expansion Petrobras’ goals of diversification and international expansion were shared by many companies in the oil industry, but Petrobras’ need to diversify and expand was particularly acute because 95% of its upstream revenues** were exposed to the risks of a single country, Brazil.2 “We need to diversify our portfolio of assets and generate hard currency cash flow, reduce costs of capital, and...
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...these programs are new to many countries, Brazil has years of experience with sugarcane-based ethanol, creating a success story for others to reference. Currently, Brazil is the largest biofuel market with the United States ringing in a close second. However, Brazil’s ethanol is created from sugarcane while the U.S. uses corn to produce their ethanol. Not only is Brazil’s sugarcane-based ethanol the first renewable fuel to be cost-competitive with transportation fuel, but it is also the most economical compared to its competitors. The ethanol’s efficiency is due to the power of the sugarcane compared to corn as an ethanol feedstock, a perfect climate for sugarcane harvesting, and the large, unskilled, inexpensive labor force in Brazil. In addition, the U.S. uses almost double the amount of land to farm corn to produce ethanol as Brazil uses to harvest sugarcane to produce almost the same volume as ethanol. What is Ethanol? Ethanol is an alcohol fuel distilled from plant materials, such as corn and sugar. Ethanol is the main biofuel for transportation and Brazil is the greatest exporter globally of bioethanol. The sugar and ethanol industry in Brazil make up 2.3% of the Domestic Gross Product, generating 4.5 million jobs for Brazilian citizens. Not only is ethanol responsible for 50% of fuel volume consumed by cars and light vehicles, but it also represents 90% of gasohol, a blend combined with gasoline, used by many oil companies. Brazil consumes 31% of global ethanol consumption...
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...these programs are new to many countries, Brazil has years of experience with sugarcane-based ethanol, creating a success story for others to reference. Currently, Brazil is the largest biofuel market with the United States ringing in a close second. However, Brazil’s ethanol is created from sugarcane while the U.S. uses corn to produce their ethanol. Not only is Brazil’s sugarcane-based ethanol the first renewable fuel to be cost-competitive with transportation fuel, but it is also the most economical compared to its competitors. The ethanol’s efficiency is due to the power of the sugarcane compared to corn as an ethanol feedstock, a perfect climate for sugarcane harvesting, and the large, unskilled, inexpensive labor force in Brazil. In addition, the U.S. uses almost double the amount of land to farm corn to produce ethanol as Brazil uses to harvest sugarcane to produce almost the same volume as ethanol. What is Ethanol? Ethanol is an alcohol fuel distilled from plant materials, such as corn and sugar. Ethanol is the main biofuel for transportation and Brazil is the greatest exporter globally of bioethanol. The sugar and ethanol industry in Brazil make up 2.3% of the Domestic Gross Product, generating 4.5 million jobs for Brazilian citizens. Not only is ethanol responsible for 50% of fuel volume consumed by cars and light vehicles, but it also represents 90% of gasohol, a blend combined with gasoline, used by many oil companies. Brazil consumes 31% of global ethanol consumption...
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...ABSTRACT The purpose of this project is to determine multinational corporate sustainability within the oil industry and perform country analysis, industry analysis, and analysis of firm’s international strategies. INTRODUCTION The five oil companies that we chose from the 2010 Global Fortune 500 are ExxonMobil, Sinopec, ConocoPhillips, Petrobras, and Lukoil. In our project, we performed analysis on the 10K report of domestic companies, as in ExxonMobil and ConocoPhillips and the 20F report of foreign companies, as in Sinopec, Petrobras and Lukoil. A comparison was done on the five companies to determine if there exists a corelation between sustainability perspective and financial performance. OIL INDUSTRY ANALYSIS Oil accounts for a large percentage of the world’s energy consumption, ranging from 32% for Europe and Asia, and 53% for the Middle East. The world consumes 30 billion barrels of oil per year, with developed nations being the largest consumers. The United States consumed 25% of the oil produced in 2007. In 2009, world energy consumption decreased for the first time in 30 years (-1.1%), as a result of the financial and economic crisis (GDP drop by 0.6% in 2009). This evolution is the result of two contrasting trends. Energy consumption growth remained vigorous in several developing countries, specifically in Asia (+4%). Conversely, in OECD, consumption was severely cut by 4.7% in 2009 and was thus almost down to its 2000 levels. In North America, Europe and CIS...
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...Sweet Brazilian Bioethanol Industry International Case Study Rodel M. Adriano March 31, 2013 Economics for Managers 551 Curtin University of Technology Graduate School of Business International Case Study – Assessment 2 Page 1 of 14 TABLE OF CONTENTS I. INTRODUCTION ............................................................................................................................................ 4 A. Analysis of the Ethanol Subsidy .............................................................................................................. 5 B. 1973 oil crisis............................................................................................................................................... 5 C. 2000s Energy Crisis................................................................................................................................... 7 II. III. IV. V. PRESENT COMPETITIVENESS OF BIOETHANOL ............................................................................................ 7 OTHER ALTERNATIVE FUELS ..................................................................................................................... 11 CONCLUSIONS ............................................................................................................................................ 12 REFERENCES ..................................................................................................................................................
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...[Πληκτρολογήστε το όνομα της εταιρείας] | [Πληκτρολογήστε τον τίτλο του εγγράφου] | [Πληκτρολογήστε τον υπότιτλο του εγγράφου] | user [Επιλογή ημερομηνίας] | Ambassador of the Republic of Cyprus H.E. Joseph Joseph The people of Cyprus are divided into two main ethnic communities, Greek Cypriots and Turkish Cypriots, who respective motherlands can be put together by geography, supported by the same history, ethnic ties, etc. However, no matter how much affinity they have, it is clear as crystal that the Cyprus problem still lasts. Before the dispute started in 1964 Cyprus was the country of 77% Greek Cypriots, 18% Turkish Cypriots, 5% other nationalities, but time has changed and the neither the Greek Cypriots nor the Turkish Cypriots can stand each other. All these led to the Turkish invasion of Cyprus in 1974. De facto partitioned the island into two political areas; the south went to the 99.5% of the Greek Cypriots which is called the Republic of Cyprus. And the north went to the 98.7% of Turkish Cypriots which is known as Northern Cyprus. Greek is predominantly spoken in the South, where the majority is Greek Cypriots and Turkish in the north, where the majority is Turkish Cypriots. In the meantime grew the “Enosis movement”, a movement by the ethnically Greek population of Cyprus. They demanded that the regions with majority Greek should brought together as one Greek state. On the other hand, the Turks wanted separation of states between the Greeks and...
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...Ethics University Name PART A Question 1 The Three Gorges dam project in China is a venture of monumental magnitude. Its impact is global, regional and local. The Hydro Electric Power project when completed can generate over 22 500 MW of electricity. That is a clean source of power as opposed to the traditional coal that emits huge amounts of carbon into the atmosphere. The proponents of the project said it would lead to better health and higher living standards. Excessive carbon in the atmosphere has been the cause of global warming. That implies that the residents, some of whom do not have access to electric power will have it in their homes. Electricity implies greater comfort and leisure such as TV and better studying for the students. The long-term benefit is better academic performance and therefore a better life. The fast-growing Chinese economy is another major beneficiary from the project. It will be able to supply cheap electricity to the industries and so increase their output. The improved capacity enables them to meet the needs of the fast-increasing number of the middle class of the population. Additionally, there is the prestige that comes with the title of the biggest Hydro Electric power project on earth. That would bring tourists to view the wonderful scene of the dam and an artificial lake. The reservoir lake would create an inland water way that got into Chongqing. The economy of the area would benefit greatly (Tan, 2007). The project has faced criticism...
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...In 1822, Brazil became an independent nation from Portugal and is now the 5th largest country in the world with a quickly growing economy, a population of almost 200 million people, and a booming middle class. Located in the middle-easter part of South America, Brazil borders Peru, Bolivia, Paraguay, Uruguay, Columbia, Venezuela, Guyana, Suriname, French Guiana - nearly all of the countries in South America! Brazil has a massive territorial size, covering nearly half of the continent, occupying an area of 3,286,470 square miles. Since July of 1994, under President Itamar Franco’s plan to stabilize the Brazilian economy, the currency has been the real. Brazil has become one of the largest markets in the world. When you think of Brazil, you may think of coffee, sugar cane, and other agricultural products, however, this economically diverse country has a strong industrial base producing and exporting commercial aircrafts, chemicals, petro chemicals, and machinery to the United States and South American countries. It also has many natural resources, including bauxite, gold, iron ore, manganese, nickel, phosphates, platinum, tin, uranium, petroleum, hydropower, and timber. Yet the largest sector of economy is in services including banking, telecommunications, energy, commerce, and information technology. Although the capital is Brasilia and the largest city is Sao Paulo, I think Brazil’s most well known city is unarguably Rio de Janeiro. This has a lot to do with Rio being home...
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