September 30, 2024 [Reuters]- Brazilian oil firm Prio said on Thursday it has reached an agreement to purchase a stake in the Peregrino oil field for $1.92 billion from China’s oil and chemicals firm Sinochem.

In a securities filing, Prio said the parts have started the process of signing the deal’s documents, adding it should be concluded on Friday.

The Brazilian firm had announced on Wednesday a non-binding agreement for the deal, after newspaper Folha de S.Paulo had reported that the firm was looking to close this week a deal valued at as much as $1.9 billion for Sinochem’s 40% stake in the field.

Prio, however, had not confirmed the deal’s financial terms until now.

State-backed Sinochem has been trying, since 2017, to sell its 40% stake in Peregrino, an offshore field east of Rio de Janeiro, it bought from Norway’s Equinor for $3.07 billion in 2010.

Equinor owns the other 60% stake and operates the field, its largest outside Norway, which last year reached a production of 110,000 barrels of oil per day.

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