You’ve probably heard the saying that in life, sometimes you have to fall down before you can climb back up, we’re here to tell you that is likely very true for the business world, not just life in general, and anyone over at Petrobras management will very likely back us up on that, and we’re also quite positive that as a binary options trader you would not want to miss an opportunity to climb to greater heights.
It takes a great many things to become a large company, it takes even more than that to become a monopoly and it may very well take something extraordinary to become an even larger and more successful entity after the end of that monopoly, but Petrobras has managed to do all of those things en route to their current position.
Established in 1953 by the Brazilian government Petrobras’s mission was the exploration and production of oil and gas. With the government’s full backing and assistance, Petrobras was given full control over all phases of the cycle, other than the direct sales of those products making it, in essence, a monopoly on the Brazilian energy production market, a monopoly that the company maintained until 1997.
During 1997 the government decided that it was possible for it to gain quite a bit by allowing foreign companies to explore and produce oil and gas on its lands, something that was previously forbidden, for this to be a profitable endeavor, Petrobras had to become competitive in all aspects. The process was a protracted one, and while the government of Brazil maintains a majority stake in the operation of the company, proof of Petrobras’s success was made quite obvious by its 2010 share sale, which helped raise over $72 billion in funds for the company, instantly turning it into the fourth largest company in the world, in terms of market capitalization.
Within the oil and gas industries, Petrobras has a reputation for being one of the global leaders in deep water exploration and production of both Oil and gas, the company operates several oil fields at depths exceeding 5000 meters below sea level.
Petrobras’s long lasting monopoly enabled it to use the might of the Brazilian government to help it grow and establish bases, fields and explorations in most south American countries, as well as other locations, such as New Zealand, where the company recently began exploratory drilling.
Supply and demand will likely always be the driving factors behind the price of oil and gas, and while a great many factors may affect those two, any company that specializes in the production of those commodities will also be impacted by any rise or decline in either, Petrobras’s sheer size, market capitalization and government backing may give it extra wind behind its sails whenever a crisis happens to strike but as any trader of oil binary options in general (and Petrobras binary options specifically) may know – there’s money to be made on the market, no matter which direction it happens to be headed in so you could, in theory make a profit regardless of what happens to Petrobras’s binary option.