1. Manaus Refinery Modernization Juarez Barbosa Perissé Refining Technology - Petrobras Manaus Refinery Modernization Juarez Barbosa Perissé Refining Technology - Petrobras ARPEL Seminar on Strategic Management Future Refining Industry Configuration

2. Refining Infra-Structure Downstream Refining Capacity (thousand bpd) REMAN46 LUBNOR6 RLAM323 REGAP151 REDUC242 REVAP251 RECAP53 REPLAN365 RPBC170 REPAR189 REFAP189 BRASIL1,985 Authorized Capacities - ANP

5. 1 crude distillation (atmosferic and vacuum) –2,300 m3/d (14,500 B/d) –Start up Sep/1956 1 crude distillation (atmosferic – Urucu Crude) –5,000 m3/d (31,500 B/d) –Start up Mai/2000 Total = 7,300 m3/d ( 46,000 B/d) 1 Catalytic Cracking (Start up Sep/1956) –500 m3/d (3.150 B/d) REMAN Units

6. Petrobras Downstream Challenges

7. Front-End Loading (FEL) Develop a detailed definition of the project scope aiming the business goals. --Why --What --When --How --Who

8. Manaus Refinery Project – Main Goals Achieve diesel oil and gasoline future specifications Increase diesel oil production Achieve environmental demands

9. Gasoline and Diesel Sulfur Content Evolution (Sulfur, max ppm) 2004 2005 2006 2007 2008 2009 2010 2011 Gasoline 100050 Country diesel 35002000 500 City diesel 2000 500 Special diesel 50

10. HDT Naphtha ATM VAC Overview of Scope FCC HDT Diesel Light Crude Cat Ref Thermal Cracking Heavy Crude

11.  Technological evaluation;  New Yields;  Operation Costs;  Investment

12. - Analysis of Environmental, Health and Safety - Gasoline and Diesel oil imported costs - Logistics for available crude oil - Freight cost Identification of Significant Risks

13. Benefits Increase heavy crude oil processing Higher quality diesel and gasoline Increase of higher value products Elaboration of the Technical-Economical Evaluation Study

14. Situation – October 2006 FEL-1 approved Elaborating conceptual design of Petrobras Technology Units