UPDATE 3-Shell expects its Brazil output to quadruple by 2020 -CEO

lunes 15 de febrero de 2016 15:06 GYT

* As others cut back Shell raises its bets on Brazil

* Output may reach 1 mln barrels/day oil, gas in 2020

* Rousseff may be open to change Petrobras subsalt role (Adds details on Brazil strategy, expected cost of Libra)

By Jeb Blount and Marta Nogueira

RIO DE JANEIRO Feb 15 (Reuters) - Royal Dutch Shell , Europe's largest oil company, expects to make robust investments in Brazil's offshore resources, hoping to quadruple oil and gas output there by the end of the decade, its chief executive officer said on Monday.

CEO Ben van Beurden spoke in Brazil shortly after Shell's $52 billion takeover of BG Group Plc, approved in late January, took effect.

Thanks to BG's large portfolio of assets in Brazil and Shell's decision to buy 20 percent of the giant Libra offshore project in 2013, Brazil will be a key area for the Anglo-Dutch company as it focuses on liquefied natural gas and deepwater oil production, van Beurden said.

Shell is rushing in as other companies cut back in the face of Brazil's worst recession in decades, and as a plunge in oil prices and a corruption scandal at state-run Petroleo Brasileiro SA slow local oil and gas growth.

"We believe in the strong fundamentals of Brazil and the fundamentals of its geology," van Beurden told reporters in Rio de Janeiro. "We will be looking at a substantial part of our production from Brazil."   Continuación...