• 1 day Iraq Begins To Rebuild Largest Refinery
  • 1 day Canadian Producers Struggle To Find Transport Oil Cargo
  • 1 day Venezuela’s PDVSA Makes $539M Interest Payments On Bonds
  • 1 day China's CNPC Considers Taking Over South Pars Gas Field
  • 1 day BP To Invest $200 Million In Solar
  • 2 days Tesla Opens New Showroom In NYC
  • 2 days Petrobras CEO Hints At New Partner In Oil-Rich Campos Basin
  • 2 days Venezuela Sells Oil Refinery Stake To Cuba
  • 2 days Tesla Is “Headed For A Brick Wall”
  • 2 days Norwegian Pension Fund Set to Divest From Oil Sands and Coal Ventures
  • 2 days IEA: “2018 Might Not Be Quite So Happy For OPEC Producers”
  • 2 days Goldman Bullish On Oil Markets
  • 2 days OPEC Member Nigeria To Issue Africa’s First Sovereign Green Bond
  • 2 days Nigeria To Spend $1B Of Oil Money Fighting Boko Haram
  • 3 days Syria Aims To Begin Offshore Gas Exploration In 2019
  • 3 days Australian Watchdog Blocks BP Fuel Station Acquisition
  • 3 days Colombia Boosts Oil & Gas Investment
  • 3 days Environmentalists Rev Up Anti-Keystone XL Angst Amongst Landowners
  • 3 days Venezuelan Default Swap Bonds At 19.25 Cents On The Dollar
  • 3 days Aramco On The Hunt For IPO Global Coordinators
  • 3 days ADNOC Distribution Jumps 16% At Market Debut In UAE
  • 4 days India Feels the Pinch As Oil Prices Rise
  • 4 days Aramco Announces $40 Billion Investment Program
  • 4 days Top Insurer Axa To Exit Oil Sands
  • 4 days API Reports Huge Crude Draw
  • 4 days Venezuela “Can’t Even Write A Check For $21.5M Dollars.”
  • 4 days EIA Lowers 2018 Oil Demand Growth Estimates By 40,000 Bpd
  • 4 days Trump Set To Open Atlantic Coast To Oil, Gas Drilling
  • 4 days Norway’s Oil And Gas Investment To Drop For Fourth Consecutive Year
  • 5 days Saudis Plan To Hike Gasoline Prices By 80% In January
  • 5 days Exxon To Start Reporting On Climate Change Effect
  • 5 days US Geological Survey To Reevaluate Bakken Oil Reserves
  • 5 days Brazil Cuts Local Content Requirements to Attract Oil Investors
  • 5 days Forties Pipeline Could Remain Shuttered For Weeks
  • 5 days Desjardins Ends Energy Loan Moratorium
  • 5 days ADNOC Distribution IPO Valuation Could Be Lesson For Aramco
  • 6 days Russia May Turn To Cryptocurrencies For Oil Trade
  • 6 days Iraq-Iran Oil Swap Deal To Run For 1 Year
  • 8 days Venezuelan Crude Exports To U.S. Fall To 15-year Lows
  • 8 days Mexico Blames Brazil For Failing Auction

Breaking News:

Iraq Begins To Rebuild Largest Refinery

Struggling Venezuela Launches Tender To Buy U.S. Crude

Struggling Venezuela Launches Tender To Buy U.S. Crude

Struggling Venezuelan state oil company…

The Trillion Dollar Industry That Boosts Oil Consumption

The Trillion Dollar Industry That Boosts Oil Consumption

Rapid growth in mobility services…

$2.5 Billion Petrobras, Statoil Deal Halted By Courts

Petrobras

A Brazilian court has suspended the $2.5-billion sale of Petrobras’ stake in the giant Carcara field to Norwegian Statoil after the National Federation of Oil Workers filed a lawsuit arguing that Petrobras should have held an open tender for the interest.

The Brazilian state giant agreed with Statoil to sell it its 66 percent in the Carcara field last summer. Half of the deal’s price tag was paid at the closing of the acquisition, which took place in November, and the other half is subject to the reaching of certain milestones. Petrobras said it has already used up the $1.25 billion paid on completion to repay debts.

The plaintiffs insist that Petrobras, being a state-owned company, should have invited more bids for Carcara, although it remains unclear why they did not act before the deal was finalized.

Petrobras, according to Reuters, will now take the necessary legal steps to protect its interests, after it reported in a regulatory filing yesterday that the Carcara deal had been greenlit by regulatory authorities.

The acquisition was the first major deal in Brazil’s presalt layer—the most promising part of its continental shelf that has attracted a lot of attention. This attention has been welcomed by the troubled state giant, suffering under the burden of the biggest debt pile in the oil industry—still above $100 billion—and the fallout from the major corruption scandal that shook Brazil’s political class and eventually led to the impeachment of President Dilma Rousseff and a government change.

Related: Why Oil Markets Are Not Recovering Much Faster

The new government prioritized fresh foreign investment in the country’s oil industry, and as part of efforts to attract investors, it relieved Petrobras of its obligation to take up a 30-percent interest in all new projects and become their operator.

The Carcara deal was the first big one in the presalt layer. The deposit is estimated to hold as much as 700 million to 1.3 billion barrels of crude.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News