Brazil’s state oil firm Petrobras and oil rig chartering company Sete Brasil Participacoes have agreed on an out-of-court mediator in their legal dispute, according to Reuters.
Gustavo Binenbojm has been chosen as the impartial third party to mediate the case, which revolves around orders for offshore rigs.
Binenbojm, a law professor of the University of Rio de Janeiro, has no decision-making power but can assist, advise and encourage the parties towards a consensual solution to their case.
Sete Brasil, which Petrobras helped to create, filed for bankruptcy in April 2016 when Petrobras – embroiled in a huge bribes-for-inflated-contracts corruption scheme – cut an order for 28 rigs to just 10.
The rig leaser sought creditor protection against $5.7bn of debt and has been under Judicial Reorganisation.
