By Jeffrey T. Lewis
SÃO PAULO--Jose Mauro Coelho, chief executive officer of state-controlled oil company Petroleo Brasileiro SA, or Petrobras, handed in his resignation Monday, the company said in a brief note.
New information will be provided as available, Petrobras said.
Brazil's government said in late May that it intended to replace Mr. Coelho amid continued criticism by Brazilian President Jair Bolsonaro on the oil company's fuel pricing policy. Petrobras on Friday announced a 5.2% increase in the price of gasoline and an increase of 14.3% for diesel fuel.
Trading in Petrobras shares was suspended Monday morning. The company's preferred shares declined 6.1% on Friday.
Mr. Mauro Coelho was Petrobras's second CEO this year after Brazilian President Jair Bolsonaro fired the previous top boss at the company, Joaquim Silva e Luna, in March. Mr. Bolsonaro has sharply criticized Petrobras's fuel price increases since taking office in January 2019.
Mr. Bolsonaro trails far behind his chief rival, former President Luiz Inácio Lula da Silva, in polls ahead of Brazil's October presidential elections and his government is working to slow inflation after months of rapid rises in consumer prices.
Brazil's Congress last week approved a bill that will limit the state sales tax on fuels as part of that effort.
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(END) Dow Jones Newswires