GAS PIPELINE FOR BRAZIL $8.6 BLN
REUTERS - A consortium led by French utility Engie has won a bid for Petrobras' TAG pipeline arm with an $8.6 billion offer, in a deal that boosts Engie's presence in a fast-growing sector and will help Petrobras cut its debts.
Engie said on Monday its successful offer for a 90 percent stake in TAG was made by a consortium involving Engie and Canada's Caisse de Dépôt et Placement du Québec (CDPQ). Petrobras will keep a 10 percent stake in TAG.
Engie said buying TAG would provide it with a steady stream of profits, with TAG accounting for 47 percent of Brazil's entire gas infrastructure.
"Our acquisition of TAG is a significant milestone for ENGIE in Brazil, a key market for the group where we have been present for 23 years," said Engie Chief Executive Isabelle Kocher.
"It is fully aligned with Engie's strategy to become the leader of the zero-carbon transition, supporting Brazil in the decarbonization of its energy mix," added Kocher.
Under Kocher, Engie has been focusing its investments on energy services, renewable energy and infrastructure assets, while selling out of coal-related assets.
Engie said the acquisition of TAG, which had 2018 core earnings of $1.14 billion, would result in Engie's net debt increasing by around 1.6 billion euros ($1.8 billion).
The TAG divestment also represents a victory for Petrobras' leadership and its Chief Executive Roberto Castello Branco, who is pushing to unload assets in a bid to cut debt and refocus on exploration and production.
In September 2016, Petrobras sold a larger gas network pipeline, Nova Transportadora do Sudeste, for $5.2 billion to Brookfield Infrastructure Partners LP, which beat out a bid by Engie.
Log in to read the publication.
An authorized user gets access to four FREE publications per month.
You can also buy a full access to all publications of the site since January 2014.
|April, 17, 11:45:00|
|April, 17, 11:40:00|
|April, 17, 11:35:00|
|April, 17, 11:30:00|
|April, 17, 11:25:00|
|April, 17, 11:22:00|
U.S. EIA - Crude oil production from the major US onshore regions is forecast to increase 80,000 b/d month-over-month in April from 8,380 to 8,460 thousand barrels/day , gas production to increase 907 million cubic feet/day from 78,930 to 79,837 million cubic feet/day .
The rules governing the EU's internal gas market will in future also apply to pipelines to and from third countries. The Council today formally adopted an amendment to the so-called gas directive which aims at closing a legal gap in the EU's regulatory framework and boosting competition in the gas market. This is the final step in the legislative process.
Russian energy major Gazprom Neft expects the Arctic to account for more than half its oil and gas production by 2020,
А.Е. Лихачёв напомнил, что нынешний форум проходит под девизом «Ядерные технологии для лучшей жизни». Нет такой сферы человеческой деятельности, где так или иначе не присутствовали бы достижения атомной отрасли. «Мирный атом связан и со всеми задачами и целями устойчивого развития, обозначенными ООН. На нынешнем форуме мы обсудим новейшие технологии, которые будут лежать в основе будущего нашей планеты», - подчеркнул А.Е. Лихачёв.