Petrobras to reduce role in Brazil's natural gas industry
(Reuters) State-controlled oil company Petroleo Brasileiro SA (Petrobras) said on Tuesday it plans to scale back its role in Brazil's natural gas industry by selling or sharing control of pipelines and opening its LNG terminals to third parties.
The move is part of a wider move to reduce its role in the transport, storage and distribution of natural gas and other fuels, said Jorge Celestino, the company's head of refining and natural gas.
Petrobras is in the middle of a plan to sell about $15 B of assets by the end of this year to reduce its nearly $130 B of debt, the largest in the oil industry, and focus investments on giant new offshore oil fields south of Rio de Janeiro, some of the world's largest discoveries in decades.
Brazil is also looking to expand the use of natural gas and the number of players in the gas market. Large amounts of new gas are expected to become available as new offshore fields come on line.
Some companies have been hampered in their ability to exploit new resources or make projects such as power plants viable by Petrobras' dominance of the gas transport system and a lack of clear rules, the IBP, Brazil's oil industry association has said.
"We want to be the main player in the discussion of the new model for the gas industry," Celestino said at a natural gas conference in Rio de Janeiro.
Reporting by Marta Nogueira; Writing by Jeb Blount; Editing by Tom Brown
- U.S. ethane exports to China hit new roadblock with license requirement
- Australia clears Woodside to run North West Shelf LNG plant to 2070
- Egypt agrees to buy up to 160 LNG cargoes through 2026
- Shell to add up to 12 MMt of additional LNG capacity by 2030
- Woodfibre LNG sets new benchmark as world’s first net-zero LNG export facility
Comments