World Economy

Brazil Rig Builder Plans Bankruptcy

Brazil Rig Builder Plans BankruptcyBrazil Rig Builder Plans Bankruptcy

Sete Brasil Participacoes SA plans to file for bankruptcy protection if state-controlled oil producer Petroleo Brasileiro SA, the rig builder’s sole client, fails to present a final lease contract proposal in a week’s time, three sources with direct knowledge of the matter said on Friday, Reuters reported. Both Sete Brasil and Petrobras declined to comment. Petrobras, as the oil company is known, asked for seven days to deliver the proposal, shareholders of Rio de Janeiro-based Sete Brasil were told at a meeting earlier on Friday, said the sources, who requested anonymity to speak freely about the matter.