The Conclusion of the Sale of Petrobras’ First Four Refineries: Repar, RLAM, Refap, and the Abreu e Lima Refinery, RNEST, in Pernambuco, Is Expected to Occur in March.
The sale of Petrobras’ first group of refineries has been postponed to 2020, stated the company’s president, Roberto Castello Branco, last week. More than 20 companies have shown interest in purchasing these assets, which were announced in June of this year, where the initial forecast was to sell the first unit by the end of 2019. Brazil Attracts 93% of Global Oil Round Revenue.
The major highlight of the set of refineries is the Paraná refinery, Presidente Getúlio Vargas, Repar, located in Araucária, in the Curitiba Metropolitan Region.
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The refinery is located 1.5 hours from the Port of Paranaguá and less than 3 hours from the Port of Itajaí, two of the country’s main ports, and is regarded as the most strategic of the entire set of eight units that will be privatized.
Repar is among the four in the initial sale batch. The Paraná refinery stands out even among refineries that are closer to ports, such as Landulpho Alves (RLAM) in Bahia, which is an hour from the Port of Salvador.
The Presidente Getúlio Vargas Refinery (Repar) has a processing capacity of 33,000 m³ of oil per day, being responsible for approximately 12% of the national production of petroleum derivatives.
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It also allocates 85% of its products for the supply of Paraná, Santa Catarina, southern São Paulo, and Mato Grosso do Sul. The excess of total production is destined for other regions of the country or exported.
The package put up for sale along with the Alberto Pasqualini refinery (REFAP) in Greater Curitiba includes five storage terminals installed in strategic cities, such as Paranaguá and Itajaí, positioning Repar as a highlight for major buyers.
Petrobras does not comment on the sale process at this stage of negotiation, but according to information, Ultra (from Ipiranga gas stations) and Raízen (the Shell holding company) have expressed interest.
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Additionally, there are other groups looking to enter the competition, such as PetroChina and Sinopec (both Chinese), Valero and CVR Energy (American), Mubadala (Abu Dhabi), and Trafigura (Netherlands).
PetroChina is the oil company with the highest market value in the world. The Arab group Mubadala, in turn, manages approximately 225 billion dollars.
At this stage, companies do not yet need to submit their official purchase proposals. The estimate is that this process will occur in the first months of 2020.

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