Petrobras Seeks Binding Offers for Gas Grid Stake

Brazilian oil company Petrobras has launched the binding phase of the sale of its remaining 10% interest in gas pipeline firm Nova Transportadora do Sudeste (NTS), it said in a stock filing on July 3.

"Potential buyers classified for this phase will receive an invitation letter with detailed instructions on the divestment process," the company said, without disclosing a planned timeframe for completing the sale.

Petrobras said the move was part of efforts to optimise its portfolio and improve capital allocation. It is seeking buyers for a number of fields and other assets in order to reduce its debts. Last week it put the Urucu cluster of oil and gas fields up for sale.

NTS owns and operates over 2,500 km of pipelines connecting Rio de Janeiro, San Paulo and Minas Gerais with Brazil's offshore fields and the Gasbol pipeline from Bolivia. Petrobras sold a 90% stake in the company to a group of investors led by Canada's Brookfield Asset Management in 2017 for $5.2bn.