The board of Brazil’s state oil firm Petrobras has approved the sale of its liquefied petroleum gas (LPG) division for $819m, according to Reuters.
Mired in $130bn debt and hamstrung by a huge corruption scandal, Petrobras has been cutting budgets and divesting assets to help erase some of the red ink.
This sale entails offloading Liquigas Distribuidora to Cia Ultragaz, which is a subsidiary of Brazilian fuel distribution giant Ultrapar.
The deal still needs the OK from the government anti-trust agency CADE, which will give it a rigorous examination.
If approved, this sale will see Petrobras take a big step toward meeting its target of selling $15.1bn in assets over a two-year period, , which concludes at the end of this year.