In May 2011, Chairman Chen Yuan of the China Development Bank (CDB) was thinking back on CDB's financing of a significant undertaking between Petroleo Brasileiro SA (Petrobras), Brazil's state-owned petroleum and gasoline producer and China Petroleum & Chemical Corporation (Sinopec), one of China's largest oil companies. Signed two years previously, the bargain was an oil-for-loan agreement in which Petrobras invested to a 10-year oil supply to Sinopec in exchange for a $10 billion loan from CDB.
The case study describes the bargain and its particular relevance to both nations. The case also discusses the evolution from a policy bank of CDB to more of a commercial enterprise.
PUBLICATION DATE: September 01, 2011 PRODUCT #: 212001-HCB-ENG
This is just an excerpt. This case is about FINANCE & ACCOUNTING
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