Mubadala closes Petrobras refinery acquisition

Petrobras concluded the landmark $1.8bn sale of its 333,000 b/d Landulpho Alves refinery (RLAM) to Abu Dhabi's state-owned investment fund Mubadala, the first of eight downstream assets the Brazilian state-controlled company is hoping to shed.

The refinery, renamed Mataripe, will come under the control of Mubadala-controlled Acelen starting 1 December. The sale price is subject to a final adjustment in the coming months, Petrobras said in a securities filing.

Petrobras will support Acelen in operating the refinery under a service provision agreement for 15 months, company executives have said.

"We believe that, with new companies operating in refining, the market will be more competitive, and we will have more investments, which tends to strengthen the economy and generate benefits for society," Petrobras chief executive Joaquim Silva e Luna said.

Petrobras has signed a $33mn agreement with Canadian bank Forbes & Manhattan for the 6,000 b/d SIX refinery and a $189.5mn deal with Brazilian fuel distributor Atem for 46,000 b/d Isaac Sabba (REMAN). Those deals are expected to close in 2022, company executives said last week. Other refinery sales agreements are still pending.

By Nathan Walters