WASHINGTON (BNAMERICAS) -- Petrobras plans to focus foreign ventures in South America, the Gulf of Mexico and western side of Africa, AE-Setorial quoted company president Jose Eduardo Dutra as saying.

The company's international strategy could change if a bid to explore and produce oil in Iran is won. The result of the bidding process should be known by year's end.

"Currently, the Middle East is not a focus of Petrobras," said Dutra, who added that Iraq is outside of Petrobras's plans because of political instability in the region.

Dutra reaffirmed investment levels. "In the current investment plan, we have average investment of between US$7.5bn and US$8bn to 2007. We believe that this investment level will be maintained in the period from 2004 to 2008," the Petrobras president told journalists in Madrid.

Petrobras will have to rework its strategic plan to ensure the development of these discoveries because of the new oil and gas reserves in the Santos basin. A study determining the level of investments in these fields should be completed by year- end, he said.

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