Vitol poised to acquire Petrobras Africa assets

Image: videoblocks.com

On Monday, reports emerged that Brazilian state-owned oil company, Petrobras, would most likely announce the sale of its stake in Petrobras Africa to global energy and commodities trading company, Vitol.

A source told Bloomberg that partners in Petrobras’ African operations, Banco BTG Pancual and Helios Investment Partners, would maintain their share in the business.

Petrobras’ stake in the company is said to be valued at an estimated $1.5 billion.

After the company’s debt rose about $100 billion in 2017, it added the venture to its divestment portfolio in May 2017, and in December agreed to sell a stake in a Brazilian oil field to Norway’s Equinor ASA, valued at $2.9 billion.

The company is still in the process of offloading $21 billion in assets to address the debt and is rumored to be planning to exit its 4,500 km natural gas pipeline system for $9 billion.

No final decisions have been made on the sale of Petrobras Africa’s stake in Vitol.