July 09, 2025 [Reuters]- Brazilian state-run oil firm Petrobras will invest 26 billion reais ($4.80 billion) in an integration between the Reduc refinery and the Boaventura energy complex in Rio de Janeiro state, it said in a statement on Thursday.

This new structure will increase the production of S-10 diesel by 76,000 barrels per day (bpd), and the production capacity of jet fuel by 20,000 bpd, Petrobras said in the statement.

During a press conference, Petrobras executives said the company foresees work to renew a thermal power plant in Reduc, with costs estimated at 860 million reais.

It also foresees a 2.4 billion reais investment in maintenance stoppages at Reduc until 2029, according to the statement.

In a joint press conference with Petrobras to present the investments, Brazil’s petrochemical firm Braskem said it is also planning a 4.3 billion reais investment into a polyethylene plant near Reduc. Petrobras owns 47% of voting shares at Braskem.

The total investments by both Petrobras and Braskem into petrochemicals and refining in Rio de Janeiro will reach 33 billion reais, said Petrobras Chief Executive Magda Chambriard.

The announcement comes a day ahead of Brazil’s President Luiz Inacio Lula da Silva’s visit to Reduc, where he will present the new investments alongside Chambriard. Since the start of his term in 2023, Lula has been pushing for Petrobras to increase investments in a bid to generate economic growth and local jobs.

“It is a project that will involve industrial development closely related to Duque de Caxias, Itaborai” said Chambriard, citing two cities in Rio de Janeiro state.