SAUDI ARABIA DECIDES TO ACCEPT BRAZIL CREDIT
Saudi Arabia has lifted the
condition it imposed on the sale of oil to Brazil and will
accept Banco do Brasil's credit guarantees, state-oil company
Petrobras said in a statement.
    Petrobras cancelled a 40 mln dlr crude oil purchase from
the Saudis yesterday, after they refused to accept a letter of
credit from the Bank of Brazil, demanding guarantees from
leading international banks.
    It advised the Saudis the company would negotiate oil
purchases elsewhere unless they changed their mind by Monday.
    The 2.2 mln barrels shipment will be made by the Saudis on
March 24 as scheduled, the statement said.
    Under a 125,000 bpd contract signed in February the Saudis
agreed to supply oil to Brazil until June.
 Reuter
