Petrobras, the corruption-wracked Brazilian state oil firm, stands to make around $768m from the sale of its liquefied natural gas (LNG) distribution arm, according to Reuters citing Brazilian newspaper O Globo.
Laden with debt and disgraced by a massive bribes-for-inflated-contracts scandal, Petrobras has been reducing its budgets, cutting back investment and divesting assets to eat into some of the red ink.
Among those asset sell-offs this one of Liquigas Distribuidora is one of the most significant. A competitive auction opened in June and has a deadline of August 19 for submitting bids. That deadline may be extended to August 30.
Firms believed to be in the bidding are domestic and overseas LNG companies and hedge funds.
