Brazil's Prio to pay $1.92 bln for Peregrino oil field stake from Sinochem
Add details of the filing in paragraph 2, context of the deal in paragraphs 3-6
SAO PAULO, Sept 26 (Reuters) -Brazilian oil firm Prio PRIO3.SA 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 [RIC:RIC:SASADA.UL].
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 anon-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 EQNR.OL 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.
Reporting by Andre Romani; Editing by Aida Pelaez-Fernandez
Related Assets
Latest News
Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.
All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.
Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.
