Petrobras starts binding phase of refineries divestment programme

Brazilian oil company Petrobras has started the binding phase for the sale of four refineries in the country as part of its previously announced plans.

The divestment includes the sale of the Abreu e Lima (RNEST), Landulpho Alves (RLAM), Presidente Getúlio Vargas (REPAR) and Alberto Pasqualini (REFAP) refineries.

The company will also sell the corresponding logistics assets of these four refineries as part of the programme.

Petrobras will send a process letter with detailed instructions to potential buyers qualified for this binding phase. It will also include due diligence guidance and binding proposals submission.

The refinery divestments are in line with the company’s portfolio optimisation, as well as improved capital allocation to maximise value for its shareholders.

Located in the Pernambuco state, RNEST has a processing capacity of 130,000bpd.

The refinery has the potential to double its capacity to 260,000bpd via a second processing line. Its assets include a storage terminal and a suite of short pipelines stretching across 101km.

The company’s RLAM refinery is located in the Bahia state. It has a processing capacity of 333,000bpd and its assets include four storage terminals and a set of 669km pipelines.

Located in the state of Paraná, REPAR has a processing capacity of 208,000bpd and includes five storage terminals and a set of pipelines totalling 476km.

Located in the state of Rio Grande do Sul, REFAP has a processing capacity of 208,000bpd, the refinery’s assets include two storage terminals and a set of pipelines of 260km.

Last month, Petrobras started the non-binding phase for the sale of the Isaac Sabbá Refinery (REMAN) in Amazonas State, Northeast Lubricants and Oil Derivatives (LUBNOR) in Ceará and Shale Industrialization Unit (SIX) in Paraná.