Petrobras Presidency: Committee meets this Friday to analyze Caio Paes de Andrade’s nomination | Economy

A meeting of the Petrobras Eligibility Committee is scheduled for this Friday afternoon (24), in Rio, which will analyze the nomination of Caio Paes de Andrade for the presidency of the state-owned company.

Current secretary for the reduction of bureaucracy in the federal government, Andrade will replace José Mauro Ferreira Coelho, who resigned on Monday (20) after being pressured by the Jair Bolsonaro government because of the rise in fuel prices.

The Eligibility Committee is responsible for analyzing Andrade’s appointment based on the company’s governance rules and applicable legislation. The reports necessary for the analysis were delivered to the state-owned company on Tuesday (21).

  • Find out who is Caio Paes de Andrade, nominated by the government to assume the presidency of Petrobras
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Check out the profile of Caio Mário Paes de Andrade, nominated to be the new president of Petrobras

According to Petrobras, the Eligibility Committee is chaired by Francisco Petros, a member of the company’s Board of Directors. Luiz Henrique Caroli, who is a member of the People Committee, are also part of the committee, in addition to Ana Silvia Matte and Tales Bronzato, both external to the company’s staff.

“In addition, as provided for in the Internal Regulations of COPE (People’s Committee), the Board of Directors Marcelo Mesquita, elected by minority shareholders holding preferred shares, was invited to the respective nomination agenda”, highlighted Petrobras.

This will be the third change in command of Petrobras in the current government. With an eye on re-election, President Jair Bolsonaro, always critical of the fuel price readjustments carried out by the state-owned company, increased the tone of the attacks. Bolsonaro even called the profit of the state-owned company “rape”.

Until the conclusion of the analysis of Paes de Andrade’s nomination, Petrobras will be interim chaired by the company’s current director of Exploration and Production, Fernando Borges.

Next steps of command exchange

The analysis of the appointment of Caio Paes de Andrade by the Eligibility Committee is one of the first steps towards the conclusion of the process of change of command at Petrobras. Based on the legal process, the government may need to wait until the second half of July to swear in your nominee.

Check out the step-by-step guide for the change of command at Petrobras:

  • Integrity background check: name of the government nominee undergoes an information-checking process to assess whether he meets the legal requirements to take office.
  • Approval by the Eligibility Committee: Once the information check is completed, the name of the nominee must be approved by the team linked to the company’s People Committee.
  • Extraordinary General Meeting: the current Board of Directors must call, at least 30 days in advance, an EGM to elect the new collegiate
  • Election of the new Board of Directors: at the AGE, eight members will be elected to compose the new collegiate. The one appointed by the government to preside over the state-owned company must first become one of the eight councilors.
  • Meeting of the new Board of Directors: soon after the election at the AGE, the new collegiate can meet to confirm the name of the one appointed by the government as the new president of the state-owned company.
  • Induction Ceremony: the conclusion of the process of changing the company’s command takes place during a public ceremony in which the chosen one will sign the term of investiture.

Names nominated for the board

The Ministry of Mines and Energy also rectified this Tuesday the list of nominees from the Union to compose the board of directors of Petrobras.

The ministry removed from the list the names of the candidates nominated by minority shareholders, José João Abdalla Filho and Marcelo Gasparino da Silva, who appeared in the first version of the list.

The other nominations previously proposed by the government, the controlling shareholder of the state-owned company, remain, with Gileno Gurjão Barreto appointed as chairman and Caio Mario Paes de Andrade as the company’s CEO.

Last Friday, Petrobras had announced the nomination of Abdalla and Gasparino by minority shareholders and announced that the minority shareholders requested the adoption of the multiple vote system in the election of directors at the extraordinary general meeting that will be convened.

Understand Petrobras' pricing policy

Understand Petrobras’ pricing policy

José Mauro Ferreira Coelho was the third president of Petrobras in the Bolsonaro government.

The first to take charge of the state-owned company during the government of President Jair Bolsonaro was economist Roberto Castello Branco, appointed shortly after the 2018 elections.

Castello Branco was appointed to the post in January 2019 and fired in February last year by President Bolsonaro, who claimed he was dissatisfied with the fuel price readjustments during the economist’s administration.

The name indicated to replace Castello Branco was that of General Joaquim Silva e Luna. The military took office in April 2021 and remained in the post until March this year.

The general remained in office for 343 days and was fired in April this year for having followed the market logic for setting prices.

After Silva e Luna left, the government even nominated economist Adriano Pires and businessman Rodolfo Landim to assume command of the state-owned company. However, both informed that they could not assume the posts.

In April, the government appointed José Mauro Coelho to take charge of the state-owned company. The executive assumed the presidency of Petrobras on the 14th of last month and resigned on Monday (20th). The interim substitute defined by the company’s Board of Directors is Fernando Borges.