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.
Free Trial: Access 13,300 Tank Terminal and Production Facilities
13,300 tank storage and production facilities as per the date of this article. Click on the button and register to get instant access to actionable tank storage industry data