Peter Howard Wertheim
OGJ Correspondent
RIO DE JANEIRO, Aug. 9 -- Brazil's state-owned Petroleo Brasileiro SA (Petrobras) and Venezuela's Petróleos de Venezuela SA jointly plan to build a $2 billion refinery in Brazil's northern Pernambuco state.
The Abreu e Lima plant, planned to begin operations in 2014, will have a processing capacity of 500,000 b/d and will produce gasoline and diesel having a sulfur content of less than 50 ppm.
Construction is scheduled to begin in 2010, although funding has not yet been allocated, and the specific location is undetermined. Locating it near the coast would facilitate shipping of the product, especially for exports, Petrobras said. Priority would be given to supplying the domestic market, but products would be of export quality, the company said.
The refinery's construction is consistent with Brazil's goal of processing 90% of domestic heavy oil in Brazil by 2010. The proportion today is 82%.
