Petrobras Sells Stake in Africa Unit

Thursday, November 1, 2018

Brazil's Petroleo Brasileiro SA will sell its 50 percent stake in a Nigerian oil and gas exploration venture to a consortium led by top oil trader Vitol for $1.53 billion, the latest step in the state-controlled oil company's debt reduction drive, according to a securities filing on Wednesday.

The other 50 percent stake in Petrobras Oil and Gas BV, also known as Petrobras Africa, is owned by Brazilian investment bank BTG Pactual, which in a Wednesday filing confirmed a Reuters report that it would likely hang on to its portion after previously mulling a sale.

Petrobras, one of the world's most indebted oil majors, had targeted $21 billion in asset sales for 2017 and 2018, but only succeeded in unloading $9.5 billion worth by the end of the first half.

The deal involves a stake in some of two deepwater exploration blocks that are among Nigeria's largest and lowest-cost fields. Swiss-based Vitol is expected to shoulder the largest part of the investment, spending an estimated $1 billion, according to a Reuters report in June about the oil trader's interest.

Vancouver-based Africa Oil Corp and Delonex Energy, an Africa-focused oil company, are members of the consortium.

Petrobras earlier this year sold a 25 percent stake in Roncador, one of Brazil's largest oil fields, to Norway's Equinor ASA for about $2 billion.

It is also in talks to sell its TAG gas pipeline unit, probably to a group led by France´s Engie SA, for more than $7 billion, although the process has been halted by a Brazilian Supreme Court injunction.

A source with direct knowledge of Petrobras' operations told Reuters on Tuesday that the oil company wished to obtain an additional $20 billion through asset sales through the end of next year.


(Reporting by Marcelo Rochabrun; Editing by Chris Reese and Peter Cooney)

Categories: Contracts Finance Offshore Energy Deepwater Industry News Africa

Related Stories

Keel Laying for Wind Flyer Trimaran Crew Boat

Argentina YPF to Shed Offshore Exploration Projects

Second Hai Long Substation Heads to Project Site Offshore Taiwan

Marine Masters Secures Wellhead Platforms Installation Job Off India

SLB Names Raman CSO, CMO

Japan's Mitsui Eyes Alaska LNG Project

BP Targets 44% Oil, 89% Gas Increase from India’s Mumbai High Field

CNOOC’s South China Sea Oil Field Goes On Stream

Saipem’s Castorone Vessel on Its Way to Türkiye’s Largest Gas Field

Yinson and PetroVietnam JV Get FSO Contract for Vietnamese Field

Current News

Fire at Petronas Gas Pipeline in Malaysia Sends 63 to Hospital

Japan’s ENEOS Xplora, PVEP Ink Deal for Vietnam Offshore Block

CNOOC Makes Major Oil and Gas Discovery in South China Sea

Valeura’s Assets in Gulf of Thailand Remain Operational After Earthquake

Op-Ed: Kazakhstan’s National O&G Firm Positioning Itself as Global Energy Player

Woodside to Shed Some Trinidad and Tobago Assets for $206M

CNOOC Sees 11% Profit Growth in 2024 Driven by Record Oil Production

‘Ultra-Mega’ Offshore Deal for L&T at QatarEnergy LNG’s North Field Gas Scheme

Keel Laying for Wind Flyer Trimaran Crew Boat

MODEC Gets Shell’s Gato do Mato FPSO Ops and Maintenance Job

Subscribe for AOG Digital E‑News

AOG Digital E-News is the subsea industry's largest circulation and most authoritative ENews Service, delivered to your Email three times per week

https://accounts.newwavemedia.com