Petrobras Escalates Chemical Giant Braskem’s Crisis to Board

Petroleo Brasileiro SA’s board has started strategizing how to position itself should Braskem SA be restructured as the crisis at the petrochemicals giant escalates.

During a regularly scheduled meeting last Friday, directors were presented with scenarios for what role the company could play if Braskem makes changes to its capital structure, according to people familiar with the matter, who asked not to be identified because the talks are private.

Petrobras, as Brazil’s state-owned oil producer is known, has not ruled out injecting capital into Braskem, the people said, adding that no concrete proposal has been put forward for board ...