Despite the financial crisis, Petrobras this year has gathered $30 billion in financing for the development of deep-water offshore reserves that are attracting foreign oil investors and could turn Brazil into a major oil producer.

"If prices stay above $65 per barrel we won't need to get any more loans for our business plan," said Gabrielli, who recently returned from a trip to China where Petrobras obtained a $10 billion credit line.

"We're in an ideal situation. In the middle of the crisis, we've got all the financing we need for our investment plan."

If prices fall to $37 per barrel the company would have two years of its 2009-2013 investment plan covered, Gabrielli said.

Petrobras, which has also lined up financing from Brazil's development bank and the US Ex-Im Bank, plans to invest $174 billion by 2013 as part of a broad plan focused on developing massive sub-salt reserves discovered in 2007, said a Reuters report.

In May the company began drawing subsalt crude from the massive offshore Tupi field, which is believed to hold between 5 billion and 8 billion barrels of light crude from depths up to 7 kilometres (4.4 miles).

Gabrielli said a Senate investigation of Petrobras, which starts tomorrow, for alleged irregularities including accounting "tricks" and overbilling for projects would have little effect on the company's operations or investments.

But he said the probe, which he described as a political attempt to tar the company's reputation, could complicate the discussion over the reform of the country's oil law that would boost government control over oil reserves.

"If you're going to create a political battle where opinions are more important than facts, an environment where anything goes, that may contaminate the discussion of the regulatory system that is fundamental for the oil industry," he said.

Gabrielli said Petrobras expects to have all the rigs it needs for sub-salt exploration, with nine new ones expected to arrive this year and a package of 28 slated to be delivered starting in 2013.

He denied the company was bringing rigs from Petrobras projects in other parts of the world such as Turkey and the US Gulf of Mexico to fill local needs.

But he said the company could consider selling foreign assets to focus on sub-salt development, without offering details on any assets that could be sold off.

Petrobras production is slated to reach 2.68 million barrels per day in 2013 and hit nearly 4 million bpd by 2020 as sub-salt production comes on line.

It produced 2.09 million bpd in April.

Asked about liquid natural gas (LNG) imports, Gabrielli said the company did not have volume estimates because Brazil used LNG to compensate for declines in hydroelectric generation in periods of reduced rainfall.

The company currently has 21 million cubic metres of gasification capacity and plans to boost this to at least 31 million cubic metres with the addition of two new facilities by 2012, and will also create a liquefaction facility for export.

"We're not going to sign long-term (LNG) contracts, neither for liquefaction nor for purchases" he said.

Published: 01 June 2009 17:50 GMT  | Last updated: 01 June 2009 17:50 GMT