The chairman of Petrobras has resigned after 10 months in the job.

Petrobras CEO quits

SAO PAULO, November 30, 2015 – The chairman of Petrobras has resigned after 10 months in the job. The Brazilian state-owned oil and gas company put Murilo Ferreira at the helm with the expectation that he would revive investor confidence after a corruption scandal revealed writedowns worth billions of dollars.

Ferreira caused further woes for the company when he voted against the sale of BR Distribuidora, Petrobras’ fuel-distribution unit. Another contentious issue was the company’s fuel price policy, which created a rift in the boardroom as the company failed to present a plan to the government to bring domestic fuel prices down.

 

Petrobras did not give a reason for Ferreira’s departure but his role as chairman of Brazilian iron ore producer Vale may point to an explanation. Ferreira was leave since mid-September after Vale’s stocks crashed in August to their lowest in 10 years.

Both Petrobras and Vale are facing financial trouble, with the price of oil falling more than 50 percent and iron ore falling 40 percent in the last 12 months.

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