Oil industry: Surprising good news

PETROLEO Brasileiro, the state-run oil producer battered by months of bad publicity from a corruption probe and asset writeoffs, reported some surprising good news. The company posted $7.2 billion (R84.65bn) in one measure of first-quarter earnings, beating analysts’ expectations by 23 percent, after a fuel price increase allowed its refining and supply unit to turn a profit for the first time since late 2010. The results follow years of selling imported gasoline at a loss as part of a government policy to curb inflation. Chief executive Aldemir Bendine is developing a business plan to reduce the industry’s heaviest debt load and retain an investment-grade credit rating. Petrobras shares have surged 54 percent since he took office on February 6. – Bloomberg