Brazil has chosen Murilo Ferreira, the chief executive officer of Vale (NYSE:VALE), to head the board of embattled state-run Petroleo Brasileiro SA or Petrobras, according to a filing from the oil company on Friday.
Ferreira’s nomination will be voted on April 29 at the next shareholders meeting of Petrobras, a company struggling to deal with the fallout from a vast corruption scandal in which four former executives are accused of participating in a bribery scheme.
Ferreira has led Vale, the world’s biggest iron-ore producer, since 2011, and has spent his entire career at the company.
It is still unclear whether the executive can hold both top posts without facing accusations of conflict of interest
It is still unclear whether the executive can hold both top posts without facing accusations of conflict of interest, as Vale is one of Petrobras top customers and business allies.
Vale’s CEO has been under the government’s radar for a while. Last year it was rumoured that Brazilian President Dilma Rousseff was planning to appoint him as her new finance minister.
Ferreira’s nomination is considered a last-ditch attempt to restore credibility to the state-controlled oil producer.(Mining.com)