Petroleo Brasileiro SA (Petrobras) has initiated the binding phase related to the sale of its 166,000-b/d Gabriel Passos refinery (Regap) and associated logistical assets at Betim, Minas Gerais, Brazil, near Belo Horizonte.
Potential buyers qualified for this phase will receive a process letter with detailed instructions on the divestment process, including guidelines for due diligence and submission of binding proposals, Petrobras said.
Assets associated with the Regap refinery—which makes up 7% of Brazil’s total refining capacity—include over 720 km of pipelines, according to the operator.
The proposed sale of the Regap refinery comes as part of the company’s broader refineries divestment program, which alongside repositioning the company’s portfolio to higher-yielding assets, also will allow for the increase in competitiveness and transparency of the downstream business in Brazil in line with the National Petroleum, Natural Gas, and Biofuels Agency of Brazil’s position and recommendations of the country’s Administrative Council for Economic Defense (OGJ Online, Oct. 25, 2019; July 16, 2019; June 12, 2019; May 2, 2019).