Through the Ministry of Mines and Energy (MME), Lula's government requests the suspension of the processes for the sale of Petrobras' assets for 90 days and the state's shares fall significantly

The Lula Government's objective is to guarantee the suspension of the sale of the state-owned company's assets during the review of the National Energy Policy. Petrobras announced the request from the Ministry of Mines and Energy (MME), but points out that the decision will not jeopardize the company's interests, even with a drop in shares.

The month of March is already beginning with major disturbances in the management of the state-owned oil company Petrobras. The company announced that the Ministry of Mines and Energy (MME) of the Lula Government requested the suspension of the sale of its assets for the next 90 days. This is one more decision that will impact directly the company's actions and operations in the Brazilian market in 2023.

See: Government asks Petrobras to suspend asset sales

Amid administrative issues at the state-owned company, Petrobras announces a request from the MME to suspend the sale of its assets for the next 90 days

Petrobras started 2023 with major problems to be faced by the new president Jean Paul Prates. Among them, the return of the collection of federal taxes on fuels and the high prices of products across the country are in great prominence.

Now, the company has announced yet another decision by the Lula government that will directly impact its operations, the suspension of the sale of its assets.

The MME asked the state-owned company that all processes for granting its assets be paralyzed for a period of 90 days.

The objective is to keep the undertakings under the command of the state-owned company during the review of the National Energy Policy currently underway and the establishment of a new composition of the National Council for Energy Policy (CNPE).

Petrobras stated that the recommendations follow the legal principles of the Lula Government, without jeopardizing the company's internal interests.

Despite this, the actions of oil company state are reacting to the news in strong fall this Wednesday. The sale of assets to expand the company's production in the Brazilian pre-salt layer was the main strategy in recent years.

However, the MME's new decision on the sale of assets created a scenario of uncertainty regarding the investments made in the company.

“The Board of Directors will analyze the ongoing processes, from the perspective of civil law and within the governance rules, as well as any commitments already assumed, their punitive clauses and their consequences, so that the governance bodies assess potential legal and economic risks arising, observing the rules of secrecy and the other applicable rules of regency", highlighted the oil company.

New request from the MME for the suspension of assets joins the return of collection of federal taxes by the Lula Government in the impact on the operations of the state-owned company

The MME's recommendation on the suspension of Petrobras' assets for the next three months comes at a troubled time for the company.

The Lula Government decided to resume the collection of federal imposts on fuels starting this month of March, thus directly impacting the sale of the company's products.

This is a scenario that threatens the company's main investors, since its assets will remain under its command during the new government.

The decision of the current president on the return of the charge had a direct impact on fuel prices throughout the National market. As of this Wednesday, consumers already feel in their pockets the high prices of products.

In this way, the suspension of the sale of the company's assets may be yet another troubled decision by the Lula Government and the MME for the management of Petrobras.