Petrobras looking to sell off its fuel distribution arm

Petrobras looking to sell off its fuel distribution arm

Petrobras, Brazil’s corruption-plagued and financially hobbled state oil firm, is looking to sell off its fuel distribution arm BR Distribuidora SA, according to Reuters.

Previously the plan had been to sell a minority stake in the unit but Petrobras did not accept some of the terms asked by the bidders.

BR Distribuidora SA controls Brazil’s largest gasoline, ethanol and diesel-station network.

Petrobras has been badly hit by the plunge in oil prices and the damaging impact of a multibillion dollar graft scheme that threatens to bring down Brazil’s government.

It has been slashing budgets and divesting interests on a huge scale.

The news came soon after reports that Petrobras was looking to sell three of its oil and gas fields for $2bn and its plans to reduce its workforce by 12,000 personnel through voluntary redundancies.

Donal Scully

With 28 years experience writing and editing for newspapers in the UK and Hong Kong, Donal is now based in California from where he covers the Americas for Splash as well as ensuring the site is loaded through the Western Hemisphere timezone.

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