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To: Bearcatbob who wrote (141131)10/16/2010 2:59:42 PM
From: Ed Ajootian  Read Replies (1) | Respond to of 206148
 
BCBob, PBR -- not sure how you would define "cash cow" but for me that means generating free cash flow (i.e. cash flow in excess of cap ex needs). As one can infer from the linked article, see reuters.com , PBR management does not expect this to happen for at least 5 years.

Why would any government want to take this sucker over at a point when they are facing such massive capital needs?



To: Bearcatbob who wrote (141131)10/17/2010 5:39:19 AM
From: elmatador  Read Replies (1) | Respond to of 206148
 
Brazil depends on its internal consumer market. It is a closed economy.

Tade is 15% of GDP. Running PBR of its consumer market.

oil?

5% of GDP. After all this PBR hoopla? Increase oil to 20% of GDP.

This is the first country after the US to have oil fuelling an internal economy.

Brazil is not the OPEC country that sells licenses to take crude out and lives off oil wealth.