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    Petrobras to sell stake in Nigeria unit to Vitol-led group for $1.5 bln

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    Naija247news Editorial Teamhttps://www.naija247news.com/
    Naija247news is an investigative news platform that tracks news on Nigerian Economy, Business, Politics, Financial and Africa and Global Economy.

    SAO PAULO, Oct 31 – Brazil’s Petroleo Brasileiro SA will sell its 50 percent stake in a Nigerian oil and gas exploration venture to a consortium led by top oil trader Vitol for $1.53 billion, the latest step in the state-controlled oil company’s debt reduction drive, according to a securities filing on Wednesday.

    The other 50 percent stake in Petrobras Oil and Gas BV, also known as Petrobras Africa, is owned by Brazilian investment bank BTG Pactual, which in a Wednesday filing confirmed a Reuters report that it would likely hang on to its portion after previously mulling a sale.

    Petrobras, one of the world’s most indebted oil majors, had targeted $21 billion in asset sales for 2017 and 2018, but only succeeded in unloading $9.5 billion worth by the end of the first half

    The deal involves a stake in some of two deepwater exploration blocks that are among Nigeria’s largest and lowest-cost fields. Swiss-based Vitol is expected to shoulder the largest part of the investment, spending an estimated $1 billion, according to a Reuters report in June about the oil trader’s interest..

    Vancouver-based Africa Oil Corp and Delonex Energy, an Africa-focused oil company, are members of the consortium.

    Petrobras earlier this year sold a 25 percent stake in Roncador, one of Brazil’s largest oil fields, to Norway’s Equinor ASA for about $2 billion.

    It is also in talks to sell its TAG gas pipeline unit, probably to a group led by France´s Engie SA, for more than $7 billion, although the process has been halted by a Brazilian Supreme Court injunction.

    A source with direct knowledge of Petrobras’ operations told Reuters on Tuesday that the oil company wished to obtain an additional $20 billion through asset sales through the end of next year.

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