Petrobras receives binding offer for Bolivia-Brazil gas pipeline from EIG

Petrobras said it received a binding offer from EIG Global Energy Partners for the control of a natural gas pipeline that connects Bolivia and southern Brazil.

On March 14th, Reuters reported EIG and Petrobras were close to reaching an agreement for its 51% stake of Transportadora Brasileira Gasoduto Bolivia-Brasil (TBG) for more than $500 MM. TBG operates the Brazilian section of the pipeline called Gasbol. 

Petrobras has not confirmed the figure reported by Reuters and said the execution of the deal, which also includes its 25% stake in Transportadora Sulbrasileira de Gas (TSB) "will depend on the necessary corporate approvals," before starting the negotiation phase.

Gasbol can transport up to 30 MMm3/day (1.1 Bft3/d) of natural gas from Bolivia to consumer markets in Brazil.

Last year, EIG sold a 27.5% stake in TBG to Fluxys Belgium NV for an undisclosed amount in order to remove a regulatory conflict that could have prevented it from bidding for control of the asset.

(Reporting by Carolina Pulice and Peter Frontini Editing by Chris Reese)

Comments

{{ error }}
{{ comment.comment.Name }} • {{ comment.timeAgo }}
{{ comment.comment.Text }}