The finance director of Petrobras, Rodrigo Araújo, revealed that the company received proposals with “substantially lower” values in the sale process of the Presidente Getúlio Vargas Refinery (Repar), located in Paraná. Within the company’s divestment program in the refining segment, this transaction is behind in relation to other negotiations, as detailed during a virtual conference with investors. However, the oil company managed to make progress in at least three other asset sales processes in this segment – the Isaac Sabbá refineries (Reman), Lubricants and Derivatives of the Northeast (Lubnor) and the Shale Industrialization Unit (SIX) are negotiating a little more advanced.
“I highlight that Reman, Lubnor and SIX are assets that are a little ahead of the others. But obviously we are working on the other assets,” said Araújo. “Repar, I would say, is a little bit further behind compared to the others. We have already launched a process that ended up not being successful and we had prices lower than the minimum stipulated by Petrobras, substantially lower. We are studying how we are going to behave in relation to REPAR”, he added.
Asked about possible penalties from the Administrative Council for Economic Defense (CADE) due to delays in the process of selling the refineries, Petrobras’ financial director says he sees this chance a little distant, as the state-owned company is complying with all the points agreed with CADE. “There is a provision for a penalty, but it is obvious that there is a penalty in the event of non-compliance by Petrobras, which has not been done at all. We are completing all the steps, ensuring the greatest efforts within the process”, said the executive.
Speaking specifically about the Repar case, Araújo explained that the Cessation Commitment Term (TCC) signed with CADE provides that sales cannot be made below the minimum price stipulated by Petrobras. “I think there is no penalty foreseen for this type of movement. CADE has been following very closely with us,” he said.
The Petrobras director also spoke about the sale of the Landulpho Alves Refinery (RLAM), in Bahia, which was negotiated with the Mubalada Fund for US$ 1.65 billion. The conclusion of the transaction process is expected to take place at the end of this year or in the beginning of 2022. “We are working as quickly as possible in the RLAM process. The process involves a series of actions in terms of licensing at the municipal and state level. There is a whole complexity in transferring the asset to the buyer. We are working hard to complete the process in the year 2021 and have the closing still within this year or the beginning of next year”, declared Araújo.
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