Petrobras SA executive William França, who sits on Braskem SA's board, said Thursday he expects the Brazilian petrochemicals producer to reach a deal with creditors to restructure approximately $11 billion of debt and avoid bankruptcy. Speaking at a conference in Rio de Janeiro, França stated Petrobras is part of the out-of-court restructuring process with the understanding that consensus will be reached with creditors. The goal is to create a robust company within five to six years that could rise from the world's sixth-largest petrochemicals producer to the fourth- or fifth-largest.

Braskem filed for out-of-court restructuring in August after years of financial strain following an environmental disaster and industry downturn. Talks have centered on fresh capital commitments, with bondholders demanding controlling shareholders Petrobras and IG4 Capital provide $3 billion. Petrobras has increased involvement in negotiations and wants to avoid bankruptcy but has resisted making the binding capital commitment sought by creditors, according to people familiar with the matter.