· ."

Front cover The preservation of Lajedo's paintings is of concern for Petrobras

Contents

Petro bras gasoline fills up car tanks abroad

Environment, quality, and safety are integrated at Petrobras

Deep water

5,000 years of history at Lajedo

Petrobras' presence L.L...---'---::=:'~_~--:l on the international market

Aleijadinho

Petro bras studies tectonics in the Antarctic

Bolivia-Brazil pipeline

Notes

Highlights

PETROBRAS MAGAZINE

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Published quarterly by the Petro bras Public Affairs Service I International Relations Office Avenida Republica do Chile, 65 - 20th floor- 20.035 -900- Rio de Janeiro, RJ, Brazil Phone: (55-21) 534-1295 - Fax: (55-21) 262-0271 - Telex: (55-21) 23335 PETRA BR

General Manager of the Public Affairs Service: Luiz Evanio Dias Couto. Head of the International Relations Office: Luiz A. M. da Fonseca. Editorial Board: Carlos Aguiar Teixeira, Carlos Leonam Rosado Penna, Guilherme Duque Estrada, Guilherme de Oliveira Estrella, Luiz Carlos Costarnilan, Luiz Evanio Dias Couto, Renato Tadeu Bertani. Editor: Angela Lemos. Staff Writer: Jose Carlos Cidade. Translators: Jra Lee, Diane Grosklal:ls. Graphic Design: Ufficio Esttidio de Arte. Photos: Eliana Fernandes, Jonio Machado, SIl­vio Barrocas. Vitor Abreu.

Partial or complete reproduction of articles published herein is not prohibited as long as the source is mentioned.

© Copyright 1993 by Petrobras

Word from the PETR08RAS

/

IH ,CE8IDO 1M]

Chairman BIBLtOTECA DA ADMINISTRACAQ

CENTRAL - SAC

EHMPUK tlA fttffft(lCl1

I n thi\-':rI"".:l'T""'tl"m,· 1'TI""t~Pl"\1''\'PI!I'~-''''nP''IW!'II. rn" ationalization of celebrates its 40th Petro bras has been taking

anniversary, the company place in a gradual and continues to demonstrate the continual manner. We expect business maturity that ranks it to be here to stay. among the world's leading Our affiliate, Petrobras integrated oil companies. Internacional , has been

Petroleum exploration and production in deep water is the company's core competence. This fact was internationally recognized at the 1992 Offshore Technology Conference in Houston when Petrobnls was the recipient of the Distinguished Achievement Award for Companies, Organizations, and Institutions. Petro bras likewise operates in all other areas of the oil business, always with complete cognizance of the latest concepts and techniques for quality, safety, and environmental conservation.

This triple-play combination -quality, safety, and environmental conservation -has become intrinsically associated with activities bearing the company's seal.

operating in petroleum exploration and production in a number of countries on various continents, as well as rendering engineering and drilling services. Its busy marketing in crude oil and exporting oil products likewise reflect Petrobras' resolute determination to go after business abroad.

With the start-up of the Southern Cone Common Market (Mercosul) , Petrobras has naturally been expanding its trade relations in nations comprising this market. Along these lines, Petro bras recently signed contracts with state and private oil companies in Argentina for imports of petroleum from that country and for purchase and sales of oil products.

A binational project with Bolivia to import natural gas from that country was formally signed betwen Petrobras and the Bolivian oil company, YPFB and ratified by the Presidents of Brazil and Bolivia last February.

2 4 MAl i993

1----- ex{/~ III1LIOTECA DA AD"INI8T~O

cemw. !lAO

These are important steps toward the energy integration policy among the Southern Cone countries.

On publishing the first edition of its magazine for international readers, Petro bras wishes to make itself better known, furnishing news and information about our most relevant activities to customers and readers abroad.

This first edition of the magazine deals with topics mentioned here briefly as well as a little bit about Brazilian culture, because Petro bras plays an active role in helping to preserve it. There is an article about one of the most noted sculptors from the Brazilian baroque and another about a project sponsored by the company relating the history of man's 5,OOO-year presence in the Vale do Apodi, northeastern Brazil.

This wasn't mere happenstance. In fact, it's a special tribute to man, the greatest asset any company can have.

Joel Mendes Renno

Produced according to the customer's specific requirements, Petrobras gasoline has been opening markets

all over the world.

I mporting around 40% of the crude oil required to supply

its domestic demand for derivatives, Brazil also exports oil products. This is the case with lube oils, paraffin, low-sulfur fuel oils as well as gasoline, exported in major quantities since the beginning of the '80s when alcohol fuel consumption began trending upward.

Produced according to each consuming country's specifications, Brazilian gasoline undergoes a rigorous quality control program running from refining through final delivery. In addition, marketing is carried out directly with oil companies, distributors, and blenders.

In the late-'80s, Brazil was the largest outside source of gasoline for th~ United States when its exports of gasoline peaked. Since then, increased consumption in Brazil has reduced its export volumes. Of the 34,000 bpd exported in 1992,21,000 bpd were earmarked for the American market. In 1992, the country was the fifth largest supplier, but the United States continued leading as the top consumer of Petrobras' gasoline exports. The market for Petrobnls gasoline also includes Mexico, Argentina, Colombia, several African and, upon occasion, European and Asian nations.

The final destination of exported gasoline is determined by international demand and the geographic proximity of the importing countries. These reasons explain the United States' predominant position in this market.

Besides accounting for half of the world's consumption of the product - around seven million bpd - the US is located close enough to Brazil, which minimizes transport costs.

Why export?

Why does an oil-importing country export gasoline? In the case of Brazil, the reason lies in the integrated planning performed by Petrobras, thoroughly examining the suitability of such operations.

Import-export operations made by Petrobras are just as complex as they are in any other part of the world. The goal is always the same: quality and optimizing resources. As the operator of the state's monopoly on petroleum and with 51 % of its shares under government control, Petrobras carries out all activities pertaining to the supply of petroleum and oil products throughout Brazil in an integrated manner. It should be kept in mind that the company's mission comprises supplying

petroleum and oil products in every region of the country.

The company operates 10 refmeries, an asphalt plant, and nine terminals.

The company's production, refining, transport, and marketing sectors work closely together on a continual basis. It also has offices in London and New York.

This integration is made possible thanks to a comprehensive computer system known as Integrated Planning, one of the most complex software programs of its type in· the world.

Data inputs from the production, refining, and transport sectors make it possible to create market strategies which take into consideration such variables as crude oil supply, regional demand for oil products, refining and transport costs. A total of around 10,000 variables are balanced and counterbalanced until the most economically feasible solutions are reached.

Five out of the 10 Petrobras refineries produce gasoline f or exports.

3

Petrobras' gasoline exports are feasible because this fuel has only a 12.2% participation in domestic consumption. The percentage is relatively small compared with diesel oil which heads up the demand list, accounting for 31.6% of the consumption in a market totaling 1,431,000 bpd of oil products and fuel alcohol. These percentages are based on 1992 data. This feature of the Brazilian market is due to the predominance of truck transport.

Implementation of the fuel alcohol program (pr6-Alcool) at the end of the '70s made possible a gradual increase in the consumption of this product based on sugarcane. At the same time, it cut back domestic gasoline consumption. Demand for fuel alcohol grew rapidly during the '80s. Consumption jumped from 2.7 million bbl in 1980 to 68 million bbl in 1989.

In 1988, the United States was able to absorb up to 12 shiploads of Petrobras gasoline in a single month. This added up 3.6 million barrels, or 120,000 bpd, around 2% of the United States' seven million bpd consumption at that time.

A crisis in alcohol production at the beginning of the '90s led to a drop in the volume of gasoline exports. The shortfall of alcohol on the domestic market caused the 68 million bbl of fuel alcohol consumed in 1989 to drop to 61 million bbl in '92. As a reflection of the alcohol crisis, Brazil began exporting an average of four shiploads per month in '92 compared to the nine monthly shiploads it averaged during 1989.

The revenues brought in from these exports help offset the costs of importing oil and oil

Gasoline for expons is produced according to customer's specific requirements.

PETROBRAS GASOLINE EXP TO USA X GASOLINE IMP USA (%)

% 20

18 -----------------------------------------

16 -------------------------------------------14

12

10

8

6

4

2

o

---------

14,'

1989

EXP. (BRA) (bbVd) 55,062

IMP. (USA) (bbl/d) 369,000

8,'

1990

29,706

333,000

4

8,1 f--

5,8 - --- --

1991 1992

16,766 21,770

296, 000 313,000

products. Brazilian consumers benefit from this strategy because they pay prices set by the government in accordance to actual production costs.

The advantages of exporting are obvious. But the question isn't quite that simple. There is also the issue of refining. A refinery might or might not be scheduled to produce gasoline for export depending on international prices for the product, the characteristics of the oil being processed, demand patterns in the consuming markets, and local conditions for shipping the product.

Quality control

Gasoline exports require meeting the importers' product specs. This involves considerations such as octane ratings, sulfur content, distillation and vapor pressure.

Quality control begins during production planning. Refinery output is set in accordance with customer requirements. In the case of the American market, for instance, there are numerous specifications including those contingent upon the region where the product will be consumed. Gasoline characteristics also vary according to the season. Since there is a lag of 15 to 16 days between shipping the product in Brazil and unloading it in the United States, refinery scheduling must also include a variable controlling design and production of gasoline with specifications for the following month.

The other phases of quality control consist of laboratory analyses of samples taken at practically every production phase right up to delivery to the importing country. The idea is to

Specifications

MON OCT

RON min

(R + M)/2

% S, wt

PVR, pSi, max

provide the consumer with total quality assurance.

Phases in quality control

The fIrst step consists of selecting the type of crude oil suited to produce gasoline for a given export market.

Then, gasoline for export is analyzed at the refmery during processing and tankage operations. The product is also tested during pipeline pumping operations while it moves through pipeline stretches over 50 km in length. After being tanked at a terminal, the gasoline goes through further analyses with emphasis on guaranteeing the reliability of test results and assuring consistency among the various labs performing tests along the way.

While a tanker is being loaded with gasoline for export, yet another analysis is made of the product in the presence of representatives from an independent inspection company.

Samples are taken from all the tanker's holds. The volume of each sample is in direct proportion to the amount in each hold.

GASOLINE SPECIFICATION

• _11~ii'3·lit.)ifi

82/83

80

87/89/93

0.10 0.20

7.5 10.1

Tests in Brazil are carried out by labs at the refIneries themselves because independent testing companies are not fully equipped to make all necessary tests. Results are checked and if there are any discrepancies, the tests are performed again. The statistical data obtained at the end of a shipment plus the samples themselves are retained by the inspecting companies for 90 days.

But that's not all. Further gasoline samples are taken at the port where the product is discharged. Petrobras' representatives are right there at the port to follow-up on test

82

90

87

0.10 0.20

9.5 9.5

results. In this way, the cycle of testing, from refIning to fInal delivery, is completed.

Petrobras maintains a running check on developments in the quality it exports. The purpose is to ascertain the operational characteristics of its refIneries and the types of petroleum being processed. By doing so, the company can forecast what types of gasoline will be available here in Brazil over the short- and medium-terms. As a result, it can optimize marketing strategies on the basis of product quality. 0

. ;cpo rte r Worldwide.

PetTobras h/JS

liable gasoline e become a re

5

A balance in terms of

~ I

Environmental concern at Petrobnis, responsible for

carrying out oil activities in an integrated manner in Brazil, date back to 1974, two years after the

--..Ii ..... .".. ..... ~ United Nations Conference 9_ the Environmen.!JWd at-Stoc;1dlol weden. The -

~~~ .. ~'-"""--mp~'S:first Environmental _

- -.

-....

Control Policy-wa established at that time.

rom then on, the development -o Pkns to pro tecl.man and th~ environmen! encOllraged-_ Petrobras to cfeat~ a speci~l department in1 977, reportin~­directly to the company's President. The purPose of th; new department was to provide

-

environment, quality, and industrial safety is a reality at Petrobras Related and interdependent areas work in harmony at all decision-making levels

. mproved means to deal with these topics in a manner consistent with the thinking .

"at that time.

General Principles for Environmental Co~"allil1ri w~es~i a in 1985. Th~

lace emphasis on sucl1.aspects - as re~llrility, priorities, and

foresight when carrying out acti vities with - a potential for "'­causing environrnentikUnpact.

These principles were -~g'i~ a sharper definitiOn in

1989 when the General Guidelines for Environmental Management were issued. The guideli es expre..§.s the. company's prime areas of foc u a~ o~jectives in terms _ of environmental issues. .

-The following princIples were _ inclu e lIT the guidelines: _

Antici~ting problems 10

order to adopt preventive strategies; Training and motivatiag human resources;

Adapting technological and material resources to rno]; intensive use of technologies -with less polluting irnpaGt; Concern abotarllre natio~ s The company is fully aware

that the concepts, practices, and characteristics of issues related to the envlfonment, quality, and industrial safety are closely relafe<f,interdependent, and overlap in many cases.

soc~ econonlic - developmen~ without

detriment t<Mhe public's quality of life;

. ' €reating local, regional and nationwlde' contingency

lans against oi! spills and similar . ncidelUs involving - ..... oil products; Considering the environmental issue in all aecision-making processes

-when implem~nting new industtial complexes.

--. With the public's increasing ... _ concern about the environm~t and industria1"safety..at the eJi1"'ef the '8Qs., Petrobras' top... -manag~ent's policy was clearly expressed in the company's

. Master ~rr: The"plan - emtmstrates the company's

determination regarding environmental conservation, the quality of its processes, products, and services, and the safety ~ its . ckrstrial cempl~es. These are s~ed as ti,tical factors40 be successfully accomplishe . This means..that;; ssues related to the envrronment and industrial

To manage these factors in , :a coherent fashion, Petrobras

gave j~risdiction over all of these issues to a single department, the Environmental, Quality, and Industrial Safety Service (Susema), created in January 1991, under the direct jurisdiction of the company's President. As a result, the entire Pe!fobras group focuses its attention and directs its activities with regard to these three areas of endeavor in an integrated m~mer.

Six months later in June 1991, the company's Board established the Petrobnis Process for the Environment, Quality, and Industrial Safety with the aim of attaining the strategic iectives

J aid down in its Master Plan involving these three areas of genera1 concern.

Susema's way of dealing with these factors also underwent changes. It stopped being an operational department to take over essentially institutional

-

attributes. When the company's Board passed the Petro bras Process for the Environment, Quality, and Industrial Safety, Susema became the company's prime tool for promoting and developing its strategies, programs, and activities in terms of these factors.

The guiding principles and methodologies in this process of re-evaluating managerial methods, philosophy, and culture are expressed in the phrase "Total Quality Management." This means priority is given to satisfying internal and external customers, stockholders, and the public. It means a continuous search to improve things at all organizational levels. It is management based upon facts and data. .

Results attained

Eighteen months after its implementation, the Petrobras Process for the Environment,

Quality, and Industrial Safety has yielded considerable results in terms of mobilizing company employees and making them aware of the issues involved. This is especially the case at the managerial level. The staff was encouraged to take a stance that is activist, transparent, and participative. The goals are to reduce any impact resulting from the company's activities as well as continuously upgrade the quality of Petrobras products and services, keeping them up to international standards. In this way, everyone involved helps make Petrobras more competitive, in harmony and accepted by customers and the general public.

The changes in attitudes in terms of relationships with customers and the public, greater integration among its various departments, and the use of quality and productivity indicators are also examples of results attained that deserve mention.

Petrobnis applies, on average, 7% to 10% of its overall investments on environmental conservation projects, an equivalent to around $150 million to $200 million per year.

In view of the country's geographic and social variety, accounting for diversities in its projects and in federal and local regulations covering the regions where it operates, Petro bras adopted a decentralized, regional method in dealing with environmental questions. This makes it possible for its various departments located in each region to operate in a cohesive and efficient manner.

As an example of the way the policy of decentralized, regional authority has worked out, eight seminars were held in 1992 with environmental control agencies from various Brazilian states. At these seminars, 442 programs were presented in the environmental area tailored to each region's requirements but

GUIDELINES FOR FUNDAMENTAL PROGRAMS AND ACTIVITIES

Bearing in mind this internal and external climate established by the company's Master Plan, Petrobras prepared a list of priority guidelines covering the environment, quality, and industrial safety. These guidelines are to be put into effect from 1993 to 1997.

Their goal is to reduce the impact of the company's activities, making the organization better prepared to face the challenges of current economic and cultural realities in a competitive manner.

Environmental guidelines

Establish indicators, methods, and standards for a systematic evalu· ation of performance in tenns of environmental aspects; Create programs for environmental auditing; Promote a continuation and concrete execution of sectorial programs; Develop programs and activities aimed at fostering relationships with the public and local officials;

Promote the commitment of all managers to Total Quality Management; Implement an intemal system to audit the company's overall efficiency in terms of quality, skills, morale, unifonn perfonnance, cost, and at· tending internal and external customers; Program activities aiming toward continuous improvement in the quality of processes, products, and services.

Prepare and/or update local and regional contingency plans; Program development and training for human resources;

Guidelines for industrial safety

Consider environmental aspects at all decision·making processes for implanting new installations.

Quality guidelines

Implement Total Quality Management in harmony with the guidelines • set in the National Quality Award; Implement a system to identify the needs of internal and external Petrobras customers; Assure that all managers know the concepts and techniques of Total • Quality Management;

8

Prepare sectorial programs intended to eliminate noncompliance with legislation as well as to adapt installations to meet the stipulations of current standards for protecting workers and company assets; Establish indicators and methodologies for systematically evaluating perfonnance in tenns of protecting workers and company assets; Program development and training for human resources; Survey material and human resources in the industrial safety field aim· ing at optimizing them within the overall scope of the Petrobras group; Incorporate all aspects related to worker and industrial installation pro· tection and safety as part of general operational procedures; Prepare programs for risk analysis and management for company in­stallations.

still fully integrated with the company's various departments. In these programs, most of them presently underway, funds equivalent to around $225 million were earmarked to be applied over an I8-month period.

Protection against oil spills at sea

Oil spills at sea are a potential environmental hazard the oil industry must face up to, and the entire topic is being given the highest priority. New design requisites for tankers, offshore platforms, and maritime terminals are under study. The following are examples of the current approach.

Requiring tankers to have separate ballast systems; More sophisticated monitoring systems to detect leaks, seepage,measure volume levels, etc.; A more selective process for chartering vessels; Systematic prior inspections of vessels and other offshore systems; Contingency plans to handle oil spills; Improving efficiency of effluent treatment and oil separation systems at platforms and terminals.

In addition to the above concrete measures and preventive programs, Petrobras built a Model Center for Prevention, Control and Fighting Oil Pollution at Sea in 1985. The center was set up adjacent to the company's largest terminal, located at Sao Sebastiao, Sao Paulo. It has proven to be one of the most successful experiments for training and preparing personnel to deal with the issue. Nearly 2,000 persons have taken courses at the center, including

company employees, public officials, and members of neighboring communities.

Due to the highly positive results achieved at the Sao Sebastiao center, the company has earmarked investments equivalent to $10 million to construct five additional centers at other company terminals for preventing, controlling, and fighting oil pollution at sea.

Involving the community in safety and risk analysis

Aware of the need to assure both safety and operational continuity at its installations, plus consistently manage the risks inherent to its operations, Petro bras implemented engineering reliability and risk analysis programs covering new projects as well as already existent installations.

The new designs for industrial complexes incorporate feasible environmental technologies. They are not merely intended to comply with legislation in force, but also to promote a harmonious relationship between man and his environment. These projects for industrial complexes are discus~ed and examined at the community level starting from the preliminary-study phase right up to conclusion of works.

Agreements and joint undertakings

Dominating technologies recognized for their quality throughout the world, Petrobras has been focusing its attention on a number of programs dealing directly with conserving the

country's natural resources. The goal is to achieve an improvement in living standards, developing products and equipment which do not interfere with the ecosystems where they're utilized. They should also ensure that man lives in harmony with his natural assets.

For this reason, the company has likewise sought to stimulate research and technical cooperation by means of agreements and contracts with government agencies, universities, and research institutes in general. The aim is always to develop new technologies which are also intrinsically clean.

Supply: quality with safety and respect for the environment

Completing the cycle "from well to service station," the distribution of oil products by the Petrobnis group is carried out by its affiliated company, Petrobras Distribuidora - BR. This company operates a lubricants plant and has a network of 6,500 service stations plus 7,000 industrial customers. It serves the most remote locations in the country. BR uses advanced technology and strict criteria for quality. This assures that completing the petroleum cycle is also performed safely and with respect for the environment.

In these ways, we are certain Petrobras undertakes its activities with unyielding determination, yet fully within the scope of the basic premises and concepts for sustainable development. This means dealing with economic and environmental aspects in a converging and simultaneous manner at all decision-making levels. 0

9

....... p water A brief look at Petrobras technology

N o other oil company in the world invests as much in

developing subsea technology for deep- water petroleum production as Petrobras.

Exploration of offshore Brazilian sedimentary basins began in 1968 when the Guaricema field off the coast of Sergipe was discovered. The big strikes, however, came several years later with the discovery of the Campos Basin off the coast of the state of Rio de Janeiro. Today, Campos is the nation's richest oil-producing area and accounts for 60% of the 650,000 bopd produced in the country.

After completing its 15th

consecutive year of producing oil and gas in September 1992, the Campos Basin also celebrated the fact it's the stage for the most significant achievements and technological advances attempted anywhere in the world in the search for oil in waters beyond the continental shelf.

From the time Petrobras put its first production systems on stream at the Enchova field in 1977 up to the production start­up of the pilot project at the Marlim field in August 1992, Petro bras has installed 26 floating producing systems and 14 fixed platforms in the Campos Basin. There are 12 floating production systems currently in operation.

Making the giant deep-water oil discoveries technically and economically feasible is a major

Marlim-9 well X-mas tree being installed at 781 m water depth.

CAMPOS BASIN

VERMElHO

CARAPEBA c:J '\::::;J ~ PARGO

GAROUPINHA

PARATI Q. ~ ANEQUI~ ~AROUPA -,

CHER EO ~M6RADO MAlHADO~ CORVIN"O G

EMA

ENCHOVA OEST~ TRllHA O~

BADEJO rflr. IJ Vv. MARIMBA ",,~oo{i)~oo , 0

PA~~i: / ,~o

as well as increasingly cut operating costs in water between 300 and 1,000 m.

/ I><r::P /

This article describes several of the most recent advances achieved by Petro bras through the coordinated work of its operational departments jointly with its R&D center plus the support of equipment manufacturers and companies rendering services for Petrobras.

challenge for Petro bras specialists, as the company advances out into ever deeper waters .

According to the October 1992 edition of Offshore magazine, two-thirds of the wells scheduled for drilling throughout the world that year in water over 1,000 feet deep were Petro bras operations.

The volume of activities is not the only factor inv9lved. The coordinated efforts by Petrobras' operational and research teams in their quest for new technologies to move oil exploration and production frontiers out into ever deeper water is also of considerable importance. In 1992, Petrobras was the recipient of the Offshore Technology Conference's Distinguished Achievement Award for Companies, Organizations and Institutions for its outstanding accomplishments in the development of deep-water production systems and for establishing programs directed

towards enhancing deep­water systems.

In addition to investing to develop oil fields located in deep water, at least 1 % of the company's gross revenues is invested in studies undertaken by Petrobras' R&D center. The center coordinates a program for technological innovation and advanced development in deep and ultra-deep water known as Procap 2000. By means of 11 carefully chosen projects, Procap is intended to establish the means for oil production to reach the bathymetric level of 2,000 m

The technologies include the phase of drilling wells using a single drilling-completion base, advances in subsea completions, interconnecting flowlines and manifolds with WCT's, laying and connecting flexible risers with export lines, and even aspects involving maintenance and deparaffination of lines using new cleaning methods.

ITEM SYSTEMIC PROJECT

Stability in horizontal and highly deviated wells

2 Drilling highly deviated wells in poorly consolidated sandstones and unstable shales

3 Kick and blowout control in deep - water wells

4 Subsea submergible centrifugal pumping

5 Subsea separation system

6 Subsea mu Ithipase pumping

7 Flow assurance in deep - water cond itions

8 Reduction of rig downtime due to BOP (Blow Out Preventer) handling

9 Stationary Production Unit with dry completion

10 Stationary Production Unit with subsea completion

11 Aquis i tion and trea tment of geological, geophysical, geotechnical and environmental data

11

Petrobras displayed these state-of-the-art technologies and products at the 1993 OTC.

Floating production systems and subsea completions

After testing a number of system configurations for developing the marginal oil fields initially discovered at the Campos Basin, Petro bras adopted a model to complete wells on an individual basis with wet Christmas trees (WCT's). The wells produce as

BUP

Petrobras xx

12

a group to subsea manifolds and from there to stationary production units (SPU's), where output is processed and exported to shore.

These systems were at first called Early Production Systems. The basic idea was to speed up cash flow from newly discovered fields and make them economically feasible by the usage of equipment (WCT's, SPU's, flexible lines and others) that could be redeployed when the fields were finally depleted. This type of system subsequently also proved suitable for developing major discoveries. They were renamed Floating Production Systems (FPS's).

The most typical FPS configuration is:

1. Wells are completed with WCT's and grouped into subsea manifolds by means of flexible lines;

2. Subsea manifolds are connected to SPU's by flexible lines and risers;

3. Oil is exported by pipelines and/or monobuoys;

4. Gas is exported by pipelines.

As work moves out into deeper water, the difficulties in installing subsea equipment increase or even make certain operations unfeasible.

In the well-drilling phase, the experience acquired from the 114 wells drilled in water depths between 500 m and 1,565 m made it possible for Petrobras to develop a single guidebase (BUP), eliminating the need to use two bases - one temporary and one permanent. The overall cost of the drilling-completion interface became less expensive as a result. Use of BUP's also solved technical problems associated with lining up temporary and permanent bases. The BUP is installed on a vertically jetted conductor pipe, ensuring a reliable seabed foundation.

Wet Christmas trees

From the experience obtained installing more than 170 WCT's at varying depths, Petrobras defines three standard types:

1. DA (Diver Assisted) for water depths up to 300 m;

2. DLL (Diverless Lay-a­way) for water depths between 300 and 500 m;

3. GLL (Guidelineless Lay-a­way) for water depths up to 1,800 m.

With the technology and equipment Petrobras has at its disposal, the company is able to complete subsea wells in water depths up to 1,000 m and is making good progress towards completing wells in waters up to 1,800 m. The world's deepest subsea completion was made by Petro bras in August 1992 at the Marlim field with the Marlirn-9 well completed in a water depth of 781 m using a GLL­type WCT.

Although the lay-a-way method made it possible to set deep-water records in terms of installing WCT's, it still requires simultaneous operations of a floating completion rig where the flowline is connected to the WCT, and a cable-laying vessel which runs the flowline to the sea bottom with the WCT attached to it.

Interconnecting well flowlines with WCT's or manifolds was greatly improved using a new technology called vertical connection. The vertical connection system can be described as a two-phase operation. In the first phase, flexible lines with their terminal ends hooked up to a vertical connection module (VCM) are laid on the sea floor and tied in a temporary abandonment base (TAB) located near the equipment to which they will be connected (tree or manifold). The second phase consists of running down a tool to retrieve the VCM from the TAB and then move it over the equipment to which it will be connected. Finally, it is lowered onto the receptacle and locked into place.

A newly completed well in the Marlim field was hooked up to a production platform using vertical connection technology for the first time on December 21, 1992. Located in a water depth of 591 m, the Marlim-20 well is on stream producing at a limited flowrate of 3,100 bopd.

Successfully accomplishing installation of the Marlim-20's bundle of lines demonstrated one of the most important characteristics of vertical connection technology: simplicity. Only standard equipment and standard procedures were used in the operation.

Vertical connection

The biggest innovations in terms of monitoring wells with WCT's or manifolds have been in fine-tuning multiplexed electrohydraulic control systems (MUXCOM). This was accomplished using data obtained from the prototype for this equipment installed at the Bonito-II well in November 1990. The equipment has been in uninterrupted operation ever since.

The latest model is named SESCO. It can be installed on manifolds or template-manifolds, making it possible to monitor several wells at a time instead of relying on individual well control as was the case with its predecessor, MUXCOM. In this way, a system begins operating as a network instead of communicating from point to point (WCT-SPU).

Other advantages of SESCO over MUXCOM concern integration of power and signals, plus control at the surface (SPU). The new system can be interconnected and monitored by the SPU's own supervisory system, doing away with the need for a stand-alone computer.

Deparaffination

The low temperatures at the sea bottom where flowlines and export lines are installed provoke increasing paraffin deposits in these lines. The difficulty in employing traditional methods of mechanically cleaning lines using pigs is directly proportional to water depth. The deeper the water, the harder the job.

The pig crossover and pig loop are innovations Petrobras has been introducing to solve the flowline deparaffination problem.

A pig crossover is a device installed in the flowline hub of satellite wells. The scraper is put into action via a line running from the launching vessel, which is connected to the pig crossover with the aid of divers or diverless equipment when depths extend beyond the limits for saturated diving. The scraper and paraffin deposits are removed and recovered in the SPU.

The pig loop method is suited for fields whose wells

13

produce into subsea manifolds. A pig loop device is installed between the flowline and the test line at a point between the subsea manifold and the SPU. This makes it possible to lift them up to the surface. The scraper is then activated and recovered in the SPU, thereby eliminating the need for a launching vessel. Obviously, the pig loop device can also be employed for satellite wells.

Petrobras tested the two methods at the Albacora field. A pig crossover was installed in the AB-13H well located at a water depth of 95 m, while a pig loop was installed between the MSP-AB-OI manifold and its SPU at a 250-m water depth.

The so-called nitrogen­generating system (SGN) is an alternative process to the pig loop-pig crossover for the purpose of clearing clogged lines. The system is based on an exothermic nitrogen-generating system that works in removing paraffin deposits from pipe walls, leaving them permanently fluid .

Mechanical clearing of lines by pig loop-pig crossover techniques is replaced by the chemical cleaning provided by SGN. In addition, SGN offers the advantage of making it possible to remove the paraffin between WCT's and a subsea manifold in fields with this type of underwater layout.

Successfully employed by Petro bras in the Campos Basin since 1986, the SGN technique has yielded outstanding results. Paraffin-removal rates over 80% mean that fields can effectively be brought back up to their original production levels.

14

Risers and couplings

The so-called rigid-flexible hybrid coupling was another major achievement in terms of connecting deep-water pipelines to risers.

The method consists of recovering a prelaid steel export pipeline coupled to a 16-m flexible line jumper using a hybrid connector. The flexible portion of the prelaid line provides a "]" configuration which is connected to the final segment of the flexible riser.

The combination rigid-flexible hybrid technique was engineered and successfully tested in less than eight months during 1992 with the installation of an eight­inch gas export pipeline in the Marlim field. At a depth of 625 m, this was the deepest gas export pipeline ever installed. Three other export pipelines were installed in 1992 using this technique and six others are planned for installation in 1994-'95.

Connecting the upper end of risers to moon pools or top decks of stationary production units likewise received detailed study by Petrobras.

The first FPS's employed quick connect-disconnect couplings (QCDC's) installed on risers just below the surface of the sea. Their purpose was to interrupt output from the wells if a riser happened to come loose from the platform due to bad weather or anchor failure.

After several years of following up and re-evaluating floating production system operations in the Campos Basin, it was shown that the QCDC's were never put into action.

QCDC's were replaced by hangers with no loss of operational safety. Indeed, they are even advantageous. Hangers became lighter and less expensive, and led to a substantial reduction in pull in­pull out loads. They are also easier to assemble and install. Hangers are designed for 100-years storm.

Hangers for flexible risers consist of a clamp-supported base connected to a flexible riser's end-fitting. The base is set to the platform moon pool or top deck using a clamped flange which is assembled to the base aboard the pipe-laying vessel.

Hybrid Flexible/rigid connector ~----------------------------------------,

Grid tensioning system

Integrated development

The discovery of three giant petroleum fields in the Campos Basin in recent years means that Petrobras has had to focus increasing attention on their future development in an integrated and efficient way. The Marlim field holds estimated reserves of 1.7 billion bbl and covers an area of 156 km2 in water depths ranging from 400 m to 2,000 m. Albacora's estimated reserves are 1 billion barrels located in waters ranging. from 200-m to 2,000-m deep covering a 236-km2 area. Reserves in the Barracuda field are estimated at 660 million bbl and are located in water ranging in depth from 700 m to 1,000 m in a 170-km2 area.

A couple of a hundred wells will be required to fully

develop these giant fields . This means the traditional method of subsea completions with WCT's employed by Petrobras will increasingly become an encumbrance both in terms of installation as well as maintenance.

Hangers f or flexible risers

On the other hand, completion of wells with dry Christmas trees on production platforms requires compensation and minimization of motion effect. Petro bras has developed a new concept to meet these requirements. Referred to as GTS or grid tensioning system (patent pending), this concept is suited for semisubmersible-type platforms, tension leg platforms (TLP's), or any other kind of production system where motion compensation-riser tensioning is an essential factor.

Originally developed for semi submersible platforms, the concept is based on the simultaneous tensioning of a group of steel risers bundled into a grid-like structure.

Centralized within the platform moon pool to which it's connected via a series of compensated tensioners around its perimeter, the grid is allowed to move vertically along a 7.6-m axis and shift in any axis on the horizontal plane.

The tensioners are fixed to the platform and coupled to the grid by sprockets and chains. A velocity-limiting circuit prevents equipment damage in case of chain or chain-connector failure, and a hydro-pneumatic control panel permits tension adjustments and monitoring of individual tensioners. The system is designed for a 100-years storm.

A tension-trimming rig used together with a portable jacking tool makes it possible to adjust tension on any individual riser during operations, with no need to remove the production tree or resort to a derrick.

Seeking simplicity in its methods with no loss of operational or environmental safety, and also trying to utilize conventional equipment available on the market, Petrobras has been making an important contribution toward standardization of subsea equipment. This has made ease of operations possible, especially at the system-equipment interface. It seems obvious that both simplicity of operations as well as the potential for interchangeability of equipment from different manufacturers will lead to less expensive projects and may even result in the development of reserves currently beyond the restrictions of economic feasibility. C

15

visit to the potential hydrocarbon site was guided to the cave paintings by local residents. As more Petrobras teams were sent in to study what eventually proved to be a fine carbonate reservoir, they took worried note of the rapid advance of a limestone mining front that was destroying the geological record and likewise jeopardizing the region's archeological and paleontological wonders.

In February 1991, Petrobras geologists invited local environmentalists to join them on a crusade to save Soledade Rock. Since the prime source of income for many inhabitants of nearby Vila de Soledade is the hand­mining of lime, the team of specialists knew that any direct attempt to halt this commercial activity would prove futile. Their strategy was therefore to awaken the local population to the scenic and cultural value of Soledade Rock - and consequently to the site's unexploited economic potential as an ecotourist attraction.

No one knew just how the locals would react to a proposal that in one way or another would interfere in their daily lives. As it turned out, the ideas presented by the team of specialists were so well received that on the day immediately after the first meeting, community members helped designate areas to be set aside for protection, based on archeological, paleontological, or geological value. As this work proceeded, many more paintings were found in three areas, covering some twenty-five acres in all.

With the firm assistance of the local population, this group of Petrobras employees and other individuals dedicated to protecting the region's cultural heritage took upon themselves

Petrobras is funding the Lajedo Project to make it a touristic attraction.

a number of vital tasks: demarkation and preliminary mapping of the three selected protection areas; clean-up and marking of a tourist trail; training of twenty-three youngsters, ten of whom were selected as junior guides; clean-up and collection of refuse by the junior guides; creation of a small museum and library stocked with archeological and paleontological books and pieces; and, lastly, the decisive step - creation of the Friends of Soledade Rock Association, later made a foundation. The purpose of this organization, which basically brings together people from Soledade and nearby Apodi, is to transfer responsibility for protection of the rock to the local population. The members of the

team that had kicked off the whole process formed the Scientific Council.

During subsequent months, the council worked to draft a management plan for the protected areas and to instil in the local population a preservationist culture, through courses and lectures sponsored by the foundation.

Completed in September 1991, the Scientific Council's management plan calls for:

• erection of fencing around each of the three areas to be protected;

• clean-up and landscape restoration in degraded spots;

• construction of a tourist center, with a museum annex, souvenir shop, foundation offices, and research facilities.

• construction of one tourist stand in each of the three protected areas, out of which the junior guides will operate;

• sponsorship of research in archeology, paleontology, geology, and other sciences so as to uncover more information on Soledade Rock's history and its past and present ecosystems.

Another concern was to teach local residents alternative means of livelihood by introducing them to options that would help slow the pace of mining activities. Specialists were invited to speak on reforestation, coal production, apiculture, and the rational exploitation of limestone via modern techniques and diversification of extracted products. The community learned, for example, that they could concentrate on finer products such as crushed rock and flagstones for decorative purposes - options that, in addition to yielding greater financial return, would help preserve Soledade Rock as they entail exploitation of smaller

areas. In contrast, continued rudimentary mining for the manufacture of lime might soon ravage the entire surface of Soledade Rock, leaving a sadly marred landscape.

Petrobras joins in

In 1991, Petrobras provided only limited support for this project. It surveyed the area, donated uniforms for the junior guides, and put up an identification marker at the rock, stating the rules of conduct visitors are expected to follow.

In 1992, Petrobras began funding the Soledade Rock preservation and research

18

project. First came demarkation of the three protected areas and erection of over 8000 ft of fencing.

Visible results

In the spirit of community participation and of collaboration displayed by those striving to preserve Brazil's scenic and cultural heritage, the Brazilian architect Adler Fontenelle graciously designed the Museum and Visitors' Center, with

2 over 1000 ft of floor space. He actually took his inspiration for its style from the region's lime kilns. Located in the main

"From the caves, nothing shall be taken but photographs, nothing shall be left but footsteps, nothing shall be killed but time, nothing shall be carried away but memories ",

square of Vila de Soledade on a plot of land donated by the community, the building holds an exhibit hall, foundation offices, and visitor facilities. Its rounded shape, with four lateral ramps, transmits the idea that preservation of Soledade Rock can co-exist harmoniously with rational economic exploitation of the site.

Under an agreement with the Universidade Federal do Rio Grande do Norte, the Friends of Soledade Rock Foundation sponsors research in speleology, archeology, and paleontology. Efforts in the first field have already paid off, with the discovery of a 1600-ft cave and the mapping of three ravines.

Archeological research has included detailed surveying of the rock; transfer copying of 4850 fe of cave paintings with polyurethane film; excavation of a total of 600 ft2, using the most

modem techniques available in Brazil; and visits to several archeological sites located within a 45-mile radius of Soledade Rock.

Preliminary findings based on excavated material, analysis of petroglyphs, and regional research suggest that a gathering/farming group once inhabited the vicinity of the rock, treating this geological feature as a ceremonial center or spiritual sanctuary. Considering that agriculture was introduced to Northeast Brazil some five thousand years ago, it is believed that findings at the site are no older than that.

Further research should shed more light on some aspects of life back then and provide new data to help determine pre-historic migration routes through the area.

Paleontological research has unearthed ample fossil material, representative of many animals of the Ice Age's macrofauna, including sloths, giant armadillos, mastodons, wildcats, dogs, horses, and reptiles.

Broadening the foundation's scope

It is hoped that the Soledade Rock preservation and research project will serve as an example, and indeed as a kind of school, motivating others to inaugurate similar ventures.

The ancient cave paintings resemble geometric and abstract elements

Brazil, and especially the Northeast, boasts dozens of unique locations that merit the special attention of the geological, paleontological, archeological, and biological

sciences - or that are simply of rare.scenic value. Moving beyond the scope of its original plan of action, the foundation has begun encouraging governmental and private agencies to identify and protect similar sites and to develop these into tourist attractions.

Part of a long-term agenda, this idea should create jobs in poorer regions of the country. After all, the world already has a good many examples of sustained development through ecotourism, such as Costa Rica and Namibia.

The participation of Petro bras at Soledade Rock has been fundamental to project success. Thanks to the company's decision to collaborate in a socioeconomic project benefitting a needy area, both Petro bras and Brazilian society have struckitrich.C

This article was written with the collaboration o/the Lajedo Project team members Eduardo Bagnoli and Geraldo Gusso (Petrobras geologists), David Hasset (environmentalist), Francisco William Jr. (speleologist) and Maria Auxiliadora da Silva Maia (lawyer).

Petrobras' presence on . the international market

-,1; -

:t~\:~'~

Working as a sole operator or in association with other international oil companies, the affiliated company Petrobras Internacional produces and markets oil, gas and gasoline besides rendering technical assistance seNices in a number of countries

Petrobras has the exclusive responsibility of carrying out oil exploration and production activities in a country with around 8.5

million km2 of surface and about 5.2 million km2 of sedimentary

basins, including those located offshore, ranging from Paleozoic to recent geologic ages. This means Petro bras has to operate in a wide range of geographic environments, which can include rain forest in the Amazon as well as desert areas in northeast Brazil.

Likewise in offshore operations, Petro bras has developed and improved existing technologies to the particular conditions of Brazil's seacoast where the most important oil fields are located beyond the shelf. This has led to an overall improvement in offshore oil technology, especially in deep waters.

These challenges, set by past and present natural conditions, have provided Petrobras with a standard of efficiency able to overcome the most complex geologic and geographic obstacles.

Despite its proven capacity as an operator, Petrobras had never operated outside Brazil until 1972. In order to strengthen and consolidate its responsibility for oil supply in Brazil, it created an affiliated company, Petro bras Internacional- Braspetro.

Braspetro is almost a wholly owned subsidiary of Petrobras. Its purpose is to perfonn outside Brazil activities related to the oil industry, both upstream and downstream.

Operating side-by-side with the world's largest oil companies in its 20 years of existence, Braspetro has also contributed to enlarge the presence of Brazil and Petrobras abroad. Beginning in 1975, Braspetro got the Petrobras organization started in international trade. It laid the foundations to assure the sales of Brazilian commodities to a number of countries in Europe, Africa, and the Middle East. In addition, Braspetro opened foreign markets for Brazilian engineering services and capital goods.

Braspetro basically focuses its efforts on three fields of activity: exploration & production;services rendering & technical assistance; and marketing of petroleum and other products.

Operating alone or in association with other oil companies, Braspetro has marked its presence in 24 countries on five continents. In the Americas : the United States, Guatemala, Trinidad and Tobago, Colombia, Ecuador, Argentina, Uruguay, and Bolivia. In Europe: the United Kingdom, and Norway. In Africa: Algeria, Egypt, Ghana, Libya, Madagascar, Congo, Angola, and Mozambique. In Asia: Iraq, Southern Y (!men, Iran, China, and India. In Oceania: the Philippines

Braspetro and its affiliated companies currently have offices in England, Norway, the United States, Angola, Argentina, Ecuador, Colombia, and Libya.

21

Exploration and production

Braspetro initiated its activities back in 1972 carrying out almost exclusively hydrocarbon exploration projects. Its history can be summed up in three phases.

During the first phase, running from its creation up to the end of the '70s, Braspetro typically performed as a sole operator. In few ventures Braspetro also participated as a non-operator company, for which it held a partial working interest. It focused its activities in North Africa, the Middle East, and Colombia.

Special mention should be made to Braspetro's performance in Iraq during this phase. Working as sole operator, it discovered the giant Majnoon (1976) and Nahr­Umr (1978) fields with total reserves amounting to around 10 billion barrels of recoverable oil. These two fields were among the largest discoveries in the world during the last two decades.

Increasing tensions in the region gave rise to negotiations between Braspetro and Inoc, the Iraqi national oil company, which acquired all of Braspetro's interests in the two fields. Inoc thereupon assigned Braspetro the job of developing the fields.

During this same phase, Braspetro also discovered the Ras-Toumb oil field in Algeria. Although this field wasn't of the same magnitude as the Iraqi discoveries, it had considerable importance from the geologic point of view. It demonstrated for the first time the existence of oil reserves in deposits different from those usually explored in that country. Braspetro took part in production at the Ras-Toumb

22

WORLDWIDE ACTIVITIES

• Exploration and/or production Commercialization

• Services and/or technical assistance . Head uarters

field from 1976 to 1988 when the production contract expired.

In this first phase of its existence, Braspetro also played a role in discoveries at the Upper Magdalena in Colombia. Because of market conditions at that time, the company's share in these discoveries was sold off to third parties.

The company also operated in Egypt and Libya. In those countries it discovered noncommercial oil and gas deposits.

As a result of its achievements during this first phase, Braspetro began to expand its activities at the start of the '80s. During the second phase of its growth, it sought closer approximation with the major oil companies as well as a more concentrated focus on areas outside the zone of conflict in the Middle East.

Work in Angola was of considerable importance during this second phase. An oil discovery was made at Block 2 in offshore Angolan waters during 1980. In association with other international oil companies, Braspetro holds a 27.5% working interest in this venture.

Gulf of Mexico gas f acilities.

The third stage of Braspetro's history began toward the end of the '80s. The company increasingly made every effort to associate with markets requiring leading-edge technologies. Through its affiliated companies Petrobras Norge AS, Brasoil UK Ltd, and Petrobras America Inc., Braspetro began exploratory work on the Norwegian and British sides of the North Sea as well as in the outer continental shelf of the US Gulf of Mexico.

Investments were also focused on such Latin American oil producing countries as Colombia, Ecuador, and Argentina. It acquired rights to oil and gas reserves in Great Britain, the United States, and Argentina.

In 1989, the company signed exploration and production contracts for two onshore blocks in Libya in association with two other international companies, where two oil discoveries, presently under appraisal, were made.

At the present time, Braspetro is working in eight countries in association with major international companies, and is the operator in several of these ventures. It holds oil and/or gas production rights in Angola, the United Kingdom, and the United States. The company is developing a Colombian oil field discovery and preparing projects for gas acquired from Argentina. It is also evaluating discoveries made in Norway, the United Kingdom, Libya and Ecuador.

This year, Braspetro expects to be producing in all countries where it operates with the exception of Norway where production start-up is scheduled for 1995, and in Libya where its recent discoveries are still under evaluation.

SeNices and technical assistance Early in 1980 Braspetro began rendering services for the petroleum industry when it discovered the Majnoon and Nahr-Urnr fields, working under contract to the Iraqi national oil company, Inoc, for the development of these fields as well as for execution of basic engineering projects .

Between 1980 and 1984, it signed contracts with countries in Latin America, Africa and the Far East to carry out jobs in the fields of engineering, exploration, production, and training of human resources.

Braspetro Oil Services Co. -Brasoil- was established in

1977 to provide Braspetro with greater operational flexibility. Brasoil began to take charge of drilling contracts with Libya undertaken in 1984. Brasoil carries out these contracts using an onshore rig it maintains in North Africa. In offshore Angola, Brasoil has a semisubmersible and two jack-up drilling rigs in operation.

Besides drilling activities, Braspetro renders services in technical assistance, project management, and human resources training in several countries. It also performs the following engineering services: installation of pipelines and building terminals, construction and installation of offshore platforms, and construction of industrial processing plants.

The company has been rendering services in these fields of specialization not only for developing countries but also for companies from the United States and Europe. Braspetro works jointly with other Brazilian engineering and construction companies from the sector on several of these contracts.

An intensive training program for more than 100 Angolan engineers in the fields of geology, geophysics, and petroleum engineering is worthy of special mention. Braspetro

began carrying out this program in 1987 at universities in Angola and Brazil.

Braspetro's other activities in Angola should also be cited. It performed the engineering design and construction of the Palanca , Impala and Pacassa offshore production platforms. These platforms were fabricated in Brazil in association with Brazilian engineering firms. To date, Braspetro's affiliated company, Brasoil, has carried out contracts on four oil production platforms and two pipelines for the Angolan coast adding up to revenues over $50 million.

Marketing of oil and oil products

Being an integrated oil company, Braspetro operates in the marketing of oil and gas from its own reserves or those acquired from third parties by means of its affiliated company, Petrobras America Inc., in the United States. It likewise performs in the export of oil products.

Petrobras' and Braspetro's activities complement one another. This makes it possible for the Petrobras group to be vitally active and able to undertake projects not only throughout Brazil, but also in the most varied and remote regions of the world. 0

Palanca production platform, fabricated ill Brazil alld installed ill Allgoia

23

ALEIJADINHO One of the geniuses of Brazilian baroque,

Antonio Francisco Lisboa, nicknamed Aleijadinho (Little Cripple) because of

his physical deformities, left mankind an impressive legacy both in terms

of quantity and variety as well as the creative talent in

his works of art

H e was of mixed blood in an era of prejudice - the eighteenth century. Born in 1730 to

a slave mother and a portuguese father, he became a freedman at his baptism. He resided in Brazil

before it had yet become an independent nation. A sculptor by profession, around his fortieth year he

lost his fingers to a degenerative disease. A student of the Bible, at the age of seventy he sculpted life-size

statues of the twelve prophets of the Old Testament. For nearly half a century after his death in 1814, he was

forgotten. But now he is considered the greatest sculptor of the Americas.

These references leave no doubt as to the man's identity: Antonio Francisco Lisboa, nicknamed by his contemporaries

Aleijadinho, or Little Cripple. An artistic genius, he was responsible for some of the most famous landscapes in Brazil,

such as the church plaza in Congonhas do Campo, state of Minas Gerais, site of his most famous

work - the twelve prophets.

Known as Vila Rica at the time of Aleijadinho's birth, the city of Ouro Preto has been designated a

world heritage site by UNESCO. Containing the largest assemblage of Baroque architecture in the

world, this town displays the grandiosity of the style that immortalized Aleijadinho.

The artist did not limit himself to his home town, but left his mark in other Minas

cities as well: Mariana, Congonhas do Campo, Sabara, Sao loao del

Rei, Catas Altas, Barao de Cocais, Caete, Morro Grande,

Nova Lima, Tiradentes, and Santa Rita Durao.

Aleijadinho's biography would delight the philosopher Kant, asan example of human grandeur. His art was so extraordinary that at the beginning of the twentieth century some even doubted the artist's existence, so abundant were the sculptures and architectural works attributed to him. As if the prodigiousness of his legacy were not enough, to this day the very story of his life enthralls poets, writers, and journalists, who revere his work, engross themselves in biographical documents, or let their imaginations sweep them back to the days of A1eijadinho.

Nothing more fitting than one creator of images suggesting others - about himself - to those fascinated by his work. In fact, Aleijadinho's first biography, a mixture of truth and legend, was published in 1858 by Prof. Rodrigo Jose Ferreira Bretas. In this century, the poet Carlos Drummond de Andrade wrote of him: "Once upon a time there was a Little Cripple, who had no finger, who had no hand; fury and chisel, these he had indeed." Inspired by the defiance of an artist who worked with passion, oblivious to his own fortune and to the conventions of his time, so very many have written about Aleijadinho that citing all would likely shift the focus of this article. What to live for? What to sculpt for? Antonio Francisco Lisboa knew the answers.

Minas Gerais: in a cultural fever

"Defiant" is an adjective befitting the period in which Aleijadinho lived. As a Portuguese colony, eighteenth-century Brazil had not yet claimed its nationhood. In Morte da Mem6ria Nacional, Franklin de Oliveira reminds us that the colonial inhabitants were

Aleijadinho also ieft his mark in Congonhas do Campo.

Faithfull or fallacious images demonstrate the expressionism nature of Aleijadinho's work.

known as mazombos and not as Brazilians, a term only later to be coined by one of Minas' inconfidentes (the rebels who met clandestinely in Vila Rica to plot the independence of Minas Gerais). Libertas quae sera tamem - liberty albeit late - was the rallying cry of the Inconfidencia of Minas Gerais, a crucial event in Brazilian history. It was the time of the so-called Gold Era, supplanting the era of sugar plantations. Society in villages and ranches gave way to urbanization. No longer was the

world divided only into masters and slaves. The development of commerce, of crafts, and of a service sector gave birth to new social classes. Craftsmen, artists, brotherhoods, and guilds spawned an urban culture.

Brazilians from all comers of the country as well as Portuguese nationals and other Europeans were drawn to this inland region by the flurry of mining activity. Although Brazil was economically ready for independence, it owed obedience to Portugal, and its gold deposits were exploited to depletion the better to serve the interests of an agrarian metropolis dependent upon an industrializing England. A feeling of nationhood slowly emerged. Extracted from these "general mines" - or minas gerais, site of the state now bearing that name - the ore was shipped to Portugal and from there on to England. The German sociologist and economist Werner Sombart has said that without Minas gold, the first Industrial Revolution would never have taken place.

The period's architecture reflects its economic situation. Stone, lime, and masonry replaced wood and lath-and­plaster as the raw materials of

25

construction. And cultural production mirrored society's latent conflicts. In service to the Church and to the aesthetic standards of ruling groups, Brazilian art mimicked Portuguese art, in tum an imitation of the French. But some artists forge a greater bond between their work and the world around them. This "subversion" differentiates Brazilian Baroque from the European. Aleijadinho is the greatest representative of this school, visible in amazing works that overflow with the tensions of the era and, perhaps, of the artist's own inner self.

Mind over matter

Hansen's disease, tertiary syphilis, crippling rheumatism, gangrenous ulcerations of the hands and feet - no one knows for sure what illness lay behind the nickname bestowed on Aleijadinho. Until the age of forty, he was a bohemian and a libertine, or so legend has it.

His Portuguese father, Manuel Francisco Lisboa, was a carpenter, architect, and sculptor. He came to Brazil attracted by

the prospect of gold and easy riches, a dream then associated with the tropics. Married, he fathered four legitimate children, plus one bastard by a black slave. To this illegitimate son he passed on his name and his professional knowledge. Although racial miscegenation was growing common around that time, it still sparked prejudice and thus hindered due recognition of Aleijadinho's talent as a remarkable mulatto sculptor and designer. For this reason Aleijadinho was prevented from signing not only many of his works but also the receipts for pieces ordered by white guilds and brotherhoods, which at that time were segregated by color.

But the artist's talent spoke louder, and his fame spread to other cities. It was then that Aleijadinho became ill and had to watch as his own body gradually disintegrated. Far from ceding to conformism or inertia, he resisted, struggling on with his work.

It is from this phase of Aleijadinho's life that the greatest number of folkloric images have sprung, both somber and heroic: in a mighty show of will , off he trudges to work in the wee hours of the morning,

cloaking his deformities in a black cape, the figure of the artist reminiscent of some macabre creature. When he is not carried by a slave, he crawls along on leather knees. A hat serves to camouflage his disfigured face. So that he can sculpt - always in hiding and aided by two faithful slaves - the hammer and chisel are tied to his hands. He earns money for his labors but spends on himself only as much as he needs to survive, sharing the rest with the poor.

Wrought by Aleijadinho's hands - which perhaps could no longer be recognized as such -were the figures that critics have classified as expressionist. They reflect the anxieties of his time and those that life forced upon him alone.

Faithful or fallacious images, one thing is certain: the expressiveness of Aleijadinho's work ignores time and demonstrates the vitality of a spirit that conquered an ailing body. He strove on until losing his sight in 1812, then retreating to a wooden cot. Two years later, at the age of 84, he passed away, completely forgotten. He was buried in a common plot belonging to the Boa Morte Guild in Vila Rica. On his aeath certificate appears his name, along with the words "mulatto" and "single."

Ouro Preto is the home town of AZeijadinho.

Defiant creator

Sculpted between 1800 and 1805 and completed when Aleijadinho was 72, the twelve prophets that line the Senhor Born Jesus de Matozinhos Church plaza in Congonhas do Campo inspire awe in those who visit them. Through differing stances, movements, gestures, and positions, the twelve display great plastic and visual harmony. Isaiah and Jeremiah at the entrance, facing arrivers; Baruch and Ezekiel, leaning towards each other; Daniel and Hosea, in profile, above the terrace; Jonah and Joel, farther back, turning away; Obadiah and Habakkuk, at the comers of the patio; Nahum and Amos, at the two far sides, the latter's expression one of touching sadness.

Sculpted in steatite, or soapstone, the bodies are short and stocky, the angle of each head varying according to the prophet's message. Their disfigurements manifest the author's expressionism.

Representative of what is now recognized as the apex of Aleijadinho's work, the prophets

rival another masterpiece of his in popUlarity: the Way of the Cross, sixty-six life-size figures found in the sanctuary of Senhor Born Jesus de Matozinhos. Sculpted in cedar between 1796 and 1799, these statues were painted by Manuel da Costa Ataide and Francisco Manuel Carneiro. The high point of Aleijadinho's art, the images show the stations of Christ's Passion, from the Last Supper to the Crucifixion. These sculptures conceal neither the fierceness of the Roman executioners, nor that of their creator, who has distorted the images into near caricatures. By disfiguring them, was Aleijadinho satirizing the arrogant colonizers, using the only tool he had at hand?

Strength in sculpture I delicacy in architecture

Aleijadinho's earlier work - mainly sculpture and wood­carving - can be found in various cities of Minas Gerais. In Ouro Preto, his home town, stands yet another masterpiece: the chapel of the Ordem Terceira de Sao Francisco de Assis, built between

1776 and 1794. Aleijadinho drew up the blueprint and designed the engravings and sculpture of the fa~ade. He also made the two pulpits, adorned with sculpted figures of saints, plus the baptismal font and the main altar's Holy Trinity and angels. The artist's sculptures decorate the ceiling of the main chapel as well. The portal bears his image of Saint Francis of Assisi.

If strength is what dominates the statuary of Aleijadinho's mature years, his architecture displays a delicacy and an aesthetic concern never before seen in structures. He would draw up the blueprint for a building and then oversee its construction. Equally interested in the finishings, he decorated fa~ades and doors and fashioned pulpits and images.

Critics disagree about the authorship of the architectural works attributed to Aleijadinho. Regarding the church of S. Francisco at Ouro Preto, for example, built in 1776, some argue that he lacked any prior experience which could have subsidized the innovations found there. But most critics believe that this and other works are fruit of the artist's own genius.

A stellar attraction of the towns of Minas Gerais, the many works of Aleijadinho live on even while their creator's body lies forgotten in a common grave. If the artist, disfigured by disease, at some point wondered why he was alive, he himself answered this question by persevering in his work almost through his final hour. The biography of Antonio Francisco Lisboa still remains shrouded in mystery, but his works are an express acknowledgment of his undeniable raison d'etre. 0

27

A TARCTIC Petrobras scientists

find corroboration of the two continents' separation and will perform detailed analyses of

rock samples collected at Melville Peninsula

T he Antarctic is 1,000 km from South America.

Around 90% of its surface is permanently covered with a layer of ice 2,000 - m thick. No animals live on the continent all year round.

Brazil was one of the signatories of the Antarctic Treaty and has been sending expeditions there since 1982. The country now has a permanent station named the Comandante Ferraz Base set up on King George- Island in Almirantado Bay.

Petrobras specialists have taken part in seven of the 11 Antarctic expeditions Brazil sent so far using the oceanographic ship Bariio de Tefe. The team's scientists carried out geologic and geophysical studies. Brazil's Antarctic expeditions are part of the Proantar program coordinated by the Interministerial Council on Resources of the Sea with

headquarters at the Brazilian Navy Ministry.

Continental separation

Since it began taking part in missions to the Antarctic, Petrobnis has shot 5,500 km of seismic lines, one of the largest amounts by any of the countries carrying out research in the area. Petrobras' research is comparable with that executed by the United States and the former USSR.

During the summer months of 1991, Petrobras scientists found evidence of the Antarctic continent's splitting off from South America, an event that apparently occurred around 25 million years ago and which led to the origin of the Drake Passage between South America and the Antarctic. Evidence encountered up to now indicates that the

last area to split off from an ancient giant continent known as Gondwanaland. Last February, the Petrobras team returned to Brazil after carrying out a field expedition

on Melville Peninsula for a month during the 11 th year of Brazil's work in the Antarctic. The Peninsula is located on the northeastern section of Kmg George Island. Petrobnis scientists intend to determine more precisely when this separation occurred, in addition to obtaining new data about the overall tectonic processes which shaped and are still shaping the continent.

The detailed studies to be based upon specimens acquired during these expeditions should make it possible to reach a reasonably precise estimate for the age of Melville Peninsula. This will enable confirmation of whether or not that geologic region corroborates the two continents' separation.

The team from Petrobras' R&D center performed a stratigraphic log of the tertiary sedimentary section of Melville Peninsula, collected 167 stratified rock and siltstone samples for micropaleontologic analyses and 30 samples for macrofossil studies of coral, crustaceans and shells. Diabase S8DlP~ were gathered for

direction and depth of Melville's formation fissures and fractures. Fifteen km further north, on the Northern Promontory to the extreme NNW of King George Island, samples were also collected for petrogenetic and geochronologic studies .

This research will help toward an understanding of the migratory routes of prehistoric fauna from the Antarctic, Australia, and South America.

Petrobras' presence

The Petro bras team at the 11 th expedition to the Antarctic included an alpinist who was responsible for the group's safety. In addition, he served as guide during expeditions, helping to set up equipment, and assuring the proper use of specialized clothing. He was also valuable as a mountain climber, and in rigging tents during field excursions. The Petro bras team set up their camp on top of an escarpment lS0-m high, 40 km from Brazil's Comandante Ferraz Base. The escarpment was scaled daily in order to gather samples and perform measurements.

Temperatures during the Antarctic summer range between _7° and + 10° C. This means that visitors might experience sun, wind, and snow on the same day. Weather conditions change very quickly. Wind chill makes a-7° C temperature feel as if it were -20° C.

The Petrobras team received special training in mountain climbing, first aid, proper use of helicopters, and navigation at sea and on land to be able to work under such adverse conditions.

Petrobras also contributes to the Proantar project by furnishing all the fuel oil for the Bariio de Tefe

The team from Petrobras' R&D Center collected more than J 00

stratified rock and siltstone samples for micropaleontologic

analyses .

The Petrobras team set up their camp on top of an escarpment J50-m high.

oceanographic ship to undertake the expedition.

Petrobras specialists make a major contribution to the scientific knowedge of the region acquired in the nation's expeditions to the Antarctic because of the geologic and geophysical studies, among others, they perform at various locations.

Petrobras scientists, however, are part of a large team composed of researchers from

Brazil's scientific community who go each year to the Antarctic during its short summer to realize scientific studies in the most varied specialties, once again getting together with the personnel who spend their winters at Brazil's Comandante Ferraz Base. C

This article was prepared with the support of Petrobras team at the J Jth Proantar expedition: Vitor Abreu and Silvio Barrocas (geologists), Joiio Bosco de Araujo (geology technician), Bruno Sellmer (alpinist).

30

•~.

, ' , "

On February 17, 1 dent Itamar Franco from President Jaime Paz

SalelPurchase Agreement and between Petrobras cimientos Petroliferos livianos - YPFB, the oil "'VII'l-"'I1}'~" from Brazil and Bolivia, tively, under wich Brazil will natural gas from Bolivia.

The studies carried out by bras in 1990 led to the corlcllls!t,n that the participation of in the total domestic energy ~11I"IIU

could increse from the 10% in the year 2000 and the year 2012.

In addition to the dOlme:sUc"plip duction, the potential natural gas in the southern Brazil, will require an initial 8 lion cubic meters of natural day import from Bolivia, increase up to 16 million cubic ters a day in 7 years, then ";>Il1"IIII'!~ in the peak level for another years.

AMAZONAS

azil-Bolivia Project: an example of

MATOGROSSO

integration

Florian6polis

Total investments in the project are estimated to be US$ 2.0 billion.

The Brazilian legislation requires that Petrobras, through an affiliate company, shall have more than 50% interest in the project, which will also have the participation of private companies and the financial support from international financial institutions.

Initial delivery is expected in the beginning of 1997, considering a 18 months period to have the funds available for the project and a 30 months period for the construction of the trunkline and the transporta­tion system. :::::

fiji PETROBRA S

620

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Checkered flag waves for BR fuels

A special blend of gasoline produced by Petrobras for Brazil's 1,OOO-mile sports car endurance race received high praise from the winning team. The contest was held at Sao Paulo's Interlagos Raceway in January.

Franz Prangemeir, a German racing driver from the winning team, said the special gasoline supplied by Petrobras contributed greatly to the success of the Porsche he and his two fellow drivers used to win the grueling 372-lap race in 13 hours, 40 minutes and 38.453 seconds, aver­aging nearly 200 km per hour.

The company supplied two types of special gasoline produced exclu­sively for the event. Prepared and tested by Petrobras, the special gasoline blends feature high octane ratings (between 93 and 95 motor octane number - MON) plus high calorific values. The MON rating in­cludes a fuel 's antiknock capacity. Regular passenger vehicles normally run on blends between 80 and 82 MON. 0

32

-

New low-sulfur diesel oil for urban use

A new metropolitan diesel oil intro­duced by Petrobras is being mar­keted in nine urban regions through­out the country. The regions are considered environmentally prob­lematic.

Brazilian regulations prohibit sulfur levels above 1.3% by weight. But, aware of its responsibilities as a member of the Brazilian community, Petrobras has undertaken to supply a metropolitan diesel oil with a maxi­mum sulfur content of 0.5% by weight for those regions, and with 1 % in the rest of the country.

The reduction in the level of sulfur was achieved in hydrotreatment units with a technology known worldwide, as well as by using crude oils with low sulfur contents as feed­stock, especially domestically-produ­ced crudes.

New hydrotreatment units are scheduled to come on stream as of 1997, and P.etrobras intends to sup­ply metropolitan diesel oil with 0.3% sulfur content by weight for urban ar­eas, and with 0.5% for the rest of the country. 0

record reserves i

CAMPOS BASIN,

VERM£LHO

CARAPEBA t::J V~PARCO

GAROUt'INHA t:l VlOiA

PARATI ,", ~ '"

ANEQUI~~ROUPA CHERNE () ~~oo ""IALHADQ '\\

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/ / Petrobras added 593 million net bar­rels of oil (including condensate) and 455 billion cubic feet of natural gas to Brazil's proven reserves in 1992.

The company added a record 670 mil­lion barrels of oil equivalent reserves. Total Brazilian reserves now amount to 4.5 billion barrels, 20% and 17% more in terms of oil and gas, respectively, than the reserves accounted on December 31 , 1991.

According to Joao Carlos de Luca, Petrobras' director of E&P, the com­pany's exploration program is getting full priority. An improvement in operat­ing performance and the high rate of success with exploratory wells were the main factors helping Petrobras set

,rJi'

J records in adding new oil and gas re-serves.

The known huge oil accumulations lo­cated in water over 1,OOO-m deep were not included in these figures.

Petrobras produced 240 million bar­rels of oil and 250 billion cubic feet of natural gas in 1992, accounting for 53% of domestic consumption.

Oil reserves' life increased from 13 years in 1991 to 16 years in 1992, as­suming current production rates. Gas reserves should last around 20 years, based on present output levels.

The biggest contributors to the in­crease in reserves came from the Marlim, Albacora, and Barracuda fields in the Campos Basin. 0

Petrobras highlights (as of December 31, 1992)

PETROLEUM RESERVES Oil + condensate 3.6 billion bbl

Gas 136.7 billion m3 4.5 billion boe

AVERAGE DAILY PRODUCTION

Oil Onshore 198,340 bbl 653,1 05 bbl

Offshore 454,765 bbl

GAS Onshore 7.6 million m 3 19.1 million m 3

Offshore 11 .5 million m3

RESERVES LIFE (at above-mentioned production levels) Oil 16 years Gas 20 years

ACTIVE WELLS Onshore 5,561 6,243 Offshore 682

DRILLING RIGS Onshore 13

28 Offshore 15

PRODUCTION PLATFORMS Fixed 63

75 Floating systems 12

PIPELINES Oil 4,261 km

6,202 km Gas 1,941 km

TANKER FLEET Number of vessels 72 Tonnage 5.4 million dwt

TERMINALS Number of terminals 9 Storage capacity 60 million bbl

REFINERIES Number of refineries 10 + 1 asphalt plant Refining capacity 1.5 million bpd Average daily output 1.2 million bpd

IMPORTS Crude oil 511,000 bpd Oil products 165,000 bpd

EXPORTS Gasoline 34,000 bpd Fuel oil 29,000 bpd

Others 24,000 bpd