Petrobras’ Board meets on the 4th to evaluate the nominee; process may take more than 1 month

The election and inauguration of Caio Paes de Andrade as president of Petrobras should not take place before the end of June. High-ranking company sources interviewed by the CNN estimate that the process can take about 45 days. The estimate considers the legal term of 30 days for holding the General Shareholders’ Meeting after the official call of the state company.

The new chairman must be appointed as a member of the Board of Directors, which is only possible with the convening of a new meeting. Before calling the meeting, the company still needs to prepare the Assembly manual and receive the names of the other nominees to compose the Board of Directors. THE CNN found that José Mauro Ferreira Coelho will remain in the presidency until the General Assembly is held.

José Mauro Ferreira Coelho was elected by the multiple vote system and the dismissal foresees the departure of the other directors elected by the same system. Another seven of the 11 current members were elected for a two-year term, from 2022 to 2024, by multiple vote.

In the letter sent to Petrobras, the government only indicted the name of Caio Guedes Paes de Andrade to replace José Mauro Ferreira Coelho, leaving in abeyance the fate of the chairman of the Board of Directors, Márcio Weber, and the other nominees elected by the government in the April 13th. The assessment of members of the Petrobras leadership is that the government needs to formalize the names, even if it chooses to keep the same nominees.

The current Board of Directors meets this Wednesday (25) to evaluate the name of Caio Paes de Andrade. The meeting was already scheduled and would informally deal with the crisis involving fuel prices and confidential matters, such as company investments, but the agenda has changed.

This Tuesday morning (24), counselors were in contact with the legal and governance departments to start the decision and resolution processes.

Petrobras directors and directors heard by the CNN reported having been taken by surprise with the dismissal of Mauro Ferreira Coelho. For Mário del Zott, president of the National Association of Petroleum Workers Minority Shareholders of Petrobras, the change has an electoral objective.

“I don’t know this new nominee, we are looking for information. We know that he is a nominee of the Minister of Economy. It has a lot of electoral measure, it can have a sudden change. To justify a change, either the PPI is revoked or something is looked for to soften it, waiting for the October elections. We will question whatever is possible,” he said.

José Mauro Ferreira Coelho had been suffering wear and tear since the company readjusted the diesel in early April. In recent weeks, the executive has tried to get closer to the government to stay in office. In Brasília, he met with the new Minister of Mines and Energy, Adolfo Sachsida, and with the Minister of the Civil House, Ciro Nogueira.

Last week, Coelho even met with President Jair Bolsonaro in Rio de Janeiro. The two greeted each other during a decarbonization event and attended a lunch with businessmen in a friendly tone.