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Tuesday, September 16, 2014

Brazil confident new rules will protect existing oil rights, (NYSE: PBR), (NYSE: PBR-A), (NYSE: RDS-B)

Brazilian regulators said on Tuesday they were confident that new regulations will trump provisions of the country's 2010 oil law that threaten to strip oil companies such as Royal Dutch Shell Plc of rights to operate major oil fields."We're pretty sure that the rules will stand up to any legal challenge," Thiago Macedo, the lead attorney for oil regulator ANP, said at an industry event. "Besides, the government has no interest in taking away operator rights to those concessions."The rules, known as ANP Regulation 25, do not prohibit Brazil from giving operator rights to some existing fields to state-run oil company Petroleo Brasileiro SA, the regulators said. Instead it interprets the law to allow operators of existing fields to keep running them when the related oil reserve extends into unsold areas subject to the new law.Under that interpretation, the government would be a minority partner leaving control to existing operators, Macedo said.

Petroleo Brasileiro SA Petrobras (Petrobras) is a Brazil-based integrated oil and gas company. Shares of PBR traded higher by 5.86% or $0.97/share to $17.51. In the past year, the shares have traded as low as $10.20 and as high as $20.94. On average, 25220400 shares of PBR exchange hands on a given day and today's volume is recorded at 53258636.

Petroleo Brasileiro SA Petrobras (Petrobras) is a Brazil-based integrated oil and gas company. Shares of PBR-A traded higher by 6.38% or $1.11/share to $18.52. In the past year, the shares have traded as low as $10.66 and as high as $22.14. On average, 10122400 shares of PBR-A exchange hands on a given day and today's volume is recorded at 24811190.

Shares of RDS-B traded higher by 0.85% or $0.69/share to $81.75. In the past year, the shares have traded as low as $66.00 and as high as $88.13. On average, 523178 shares of RDS-B exchange hands on a given day and today's volume is recorded at 969834.



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