SAO PAULO (Reuters) - Petróleo Brasileiro SA (SA:PETR4), Brazil's state-controlled oil producer, trimmed capital spending projections by 25 percent for the 2015-2019 period and warned that more declines in oil prices and the nation's currency could lead to further revisions.
In a Tuesday securities filing, the company known as Petrobras (SA:PETR4) (N:PBR) said that missing operational goals led management to lower planned investments to $98.4 billion (68.21 billion pound). Petrobras, which had cut spending twice since June, blamed the reduction on both the oil and the currency slump and tight oil industry supplies.
As a result, Petrobras cut the estimate for average daily oil output in Brazil to 2.145 million barrels a day this year from 2.185 million.
The company is working on a five-year investment plan for 2016 through 2020. Capital spending was originally estimated at $130.3 billion for 2015 through 2019.
According to the filing, about $80 billion, or 81 percent of the planned capital spending for 2015 through 2019 would go to exploration and production investments. About $10.9 billion is earmarked for distribution and refining, with the rest being allocated to gas and energy and other areas.