The Business Times

Petrobras said to weigh fields sale valued up to US$2 billion

Published Fri, Mar 18, 2016 · 11:01 AM

[RIO DE JANEIRO] Petroleo Brasileiro SA is marketing offshore oil and natural gas fields worth as much as US$2 billion as part of its plan to sell assets and pay down debt, said two people familiar with the matter.

Three fields - Bauna, Golfinho and Tartaruga - are for sale, said one person, who asked not to be named because the information isn't public. Bank of America Corp is coordinating the sales, said the people.

Petrobras is cutting spending and selling assets after crude prices tumbled, and the Brazilian state-run oil producer found itself at the center of a corruption scandal that led to management changes. The company aims to raise US$14.4 billion from asset sales this year.

Petrobras shares climbed 12 per cent to close at 8.10 reais in Sao Paulo trading Thursday, its highest level since Nov 24.

Petro Rio SA and LetterOne Holdings SA have put in offers for the Bauna field, said one of the people. Karoon Gas Australia Ltd is also bidding, according to a representative for the company. Petrobras has 90 days to give a response, one of the people said.

Petro Rio didn't immediately reply to an e-mailed request for comment. Representatives for Bank of America and LetterOne declined to comment. A representative for Petrobras said the company is in quiet period, and declined to comment.


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