Petrobras – Clarification of Press Article: Privatization of Gas Pipelines
Rio de Janeiro, July 15, 2015 – Petróleo Brasileiro S.A. – Petrobras hereby responds to Official Letter 245/2015/CVM/SEP/GEA-1, as transcribed below:
OFFICIAL LETTER 245/2015/CVM/SEP/GEA-1
“We refer to the article published today in the Market section of Folha de São Paulo entitled Petrobras estuda privatizar até 80% de seus gasodutos (Petrobras is considering privatizing up to 80% of its gas pipelines), which contains the following affirmations:
Petrobras is considering privatizing its subsidiary Transportadora Associada de Gás (TAG). The state-owned firm presented the market with three possible models for the sale of the company, which controls Brazil’s gas pipeline network.
The boldest envisages the transfer de 80% of the company’s capital to the new controlling shareholder.
The sale of TAG is part of the divestment package announced by Petrobras in March, designed to reduce its debt. The package also includes Gaspetro (which concentrates Petrobras’ holdings in piped gas distributors) and certain thermal power plants and pre-salt layer exploration areas.
According to Folha, possible investors were presented with three proposals: the sale of 80% with transfer of control and the sale of stakes of 49% or 60%, with the state-owned firm retaining control.
[…]
The company would be divided into two regional companies, one of which retaining the assets in North and Northeast regions and the other, the assets in the South and Southeast, respecting the term of commitment entered into in 2003 with the ANP (the oil and gas industry regulator), which could push the sale back to next year.
(original without italics)
We therefore request a declaration regarding the veracity of the affirmations in said article.”
Clarification
As disclosed in its 2015-2019 Business and Management Plan, Petrobras envisages total divestments of US$15.1 billion in 2015 and 2016.
As a result of this Plan, the company is studying divestment opportunities in the gas and energy and oil and gas exploration, production and supply areas in Brazil and abroad.
The divestment portfolio is dynamic and the materialization of these opportunities depends on business and market conditions.
Material facts on this matter will be disclosed to the market in a timely manner.
Brazil Energy Insight 
The issue is moot!
The new Lei do Gás states very clearly that you can’t own both the gas and the pipeline, meaning Petrobras, which owns most of the gas, must sell its pipelines asap.
Go figure.
You think this is silly? The old Lei do Gás was even sillier: the pipeline owner could not deny access to anyone wanting to move gas. This went on for decades, and the upshot is nobody built any pipelines, knowing that Petrobras, which owned them all, could not deny access!
[ ]s
ADC
LikeLiked by 1 person
Thanks Augusto. Sometimes we wonder what the brilliant minds in Brasilia have in store for the population. I just hope that the bill regarding the pre salt operations and the local content rule will soon be appreciated by these brilliant minds. Who knows, it might just be a moot point also, considering that Iran will enter the market offering product lots cheaper than it will take to produce the pre salt reserves.
LikeLike