Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON

MarketScreener Homepage  >  Equities  >  Bolsa de Valores de Sao Paulo  >  Petróleo Brasileiro S.A. - Petrobras    PETR4   BRPETRACNPR6

PETRÓLEO BRASILEIRO S.A. - PETROBRAS

(PETR4)
  Report
SummaryChartsNewsRatingsCalendarCompanyFinancialsConsensusRevisions 
SummaryMost relevantAll NewsAnalyst Reco.Other languagesPress ReleasesOfficial PublicationsSector newsMarketScreener Strategies

Petróleo Brasileiro S A Petrobras : Future of Petrobras refinery sales in doubt, three source close to bidders say

02/19/2021 | 08:52pm EST

RIO DE JANEIRO, Feb 19 (Reuters) - The future of state-run oil company Petrobras's refinery sales is in doubt after the Brazilian government moved to replace Chief Executive Roberto Castello Branco, three people close to the bidders said on Friday.

The potential for a mass resignation of the company's management raises questions about whether momentum toward asset sales strongly pushed by Castello Branco will be maintained under his replacement, two of the people said. The three sources spoke on condition of anonymity.

A possible new management with a more nationalistic profile, led by former Defense Minister Joaquim Silva e Luna, could suspend the divestment process, the sources said. No decision has been made by Petrobras or bidders as it is too soon to evaluate the scenario, they added.

Bidders who were preparing firm offers are expected to pause before deciding whether to proceed, they said.

More advanced negotiations, including for RLAM and REFAP refineries, could eventually move ahead if bidders have legal security and political support for the privatizations remains, two of the people said.

Petrobras said earlier this month it had agreed to sell RLAM to Abu Dhabi's Mubadala Capital for $1.65 billion. Brazilian group Ultrapar Participacoes SA is leading talks to buy REFAP, based in the southern Brazilian state of Rio Grande do Sul.

The uncertainties could also impact the valuation of the plants, with increased political risk included in the costs, one of the sources said.

Brazilian President Jair Bolsonaro moved to replace Castello Branco after weeks of tension over fuel price hikes.

"It's certainly a good argument for a lower price," said a fourth source close to a bidder for Petrobras' REGAP refinery in the southeastern state of Minas Gerais. "I hope Bolsonaro has a plan to restore credibility."

The populist Brazilian president's reluctance to tolerate price increases in line with market swings could also dampen potential bidders' enthusiasm, said Edmar Almeida, a professor specializing in energy at the Federal University of Rio de Janeiro.

"It's become very clear to the market that the Brazilian government and even society isn't prepared to allow a company with freedom to set prices at the most critical moments," Almeida said.

"This uncertainty will certainly make it harder to sell the refineries," Almeida added. "Whoever buys is going to want freedom to set prices, otherwise the business won't be sustainable."

Petrobras has been raising fuel prices since a Feb. 5 Reuters report that disclosed details of the company's price policy, which led analysts to downgrade the company's shares on concerns of possible political interference.

Investors have been jittery about possible political interference since the oil producer confirmed Petrobras would allow domestic prices to differ from international prices for longer periods of time than previously disclosed.

Reuters reported on Feb. 5 that Petrobras was calculating the international price parity of the fuels it sells over a period of one year. It was the first time the period used internally by Petrobras to close the books on price fluctuations had been made public since 2019, when the calculation was done monthly.

(Additional reporting by Luciano Costa in Sao Paulo and Gram Slattery in Rio de Janeiro; Editing by Christian Plumb and Will Dunham)


© Reuters 2021
Stocks mentioned in the article
ChangeLast1st jan.
PETRÓLEO BRASILEIRO S.A. - PETROBRAS 0.77% 22.39 End-of-day quote.-21.00%
ULTRAPAR PARTICIPAÇÕES S.A. -0.62% 19.23 End-of-day quote.-19.00%
All news about PETRÓLEO BRASILEIRO S.A. - PETROBRAS
10:40aCHEVRON  : Reports Restart at Pasadena, Texas, Refinery
DJ
06:51aPETRÓLEO BRASILEIRO S A PETROBRAS  : Brazil's Petrobras receives six board nomin..
RE
03/05PETRÓLEO BRASILEIRO S A PETROBRAS  : Management Report 2020
PU
03/04CERAWEEK-ROCK AND HEAVY METAL : winners emerge in energy transition
RE
03/04PETROBRAS  : about piece of news published in the press
AQ
03/03SECTOR UPDATE : Energy Stocks, Crude Oil Post Large Wednesday Gains
MT
03/03SECTOR UPDATE : Energy Stocks Rising Amid New Surge in Crude Oil Prices
MT
03/03Petrobras Shares Decline After 4 Board Members Say They're Leaving
DJ
03/03PETROBRAS  : on non-reappointment of Board Members
AQ
03/03PETRÓLEO BRASILEIRO S A PETROBRAS  : Petrobras Says Four Board Members Do Not In..
MT
More news
Financials
Sales 2021 364 B 63 573 M 63 573 M
Net income 2021 43 911 M 7 659 M 7 659 M
Net Debt 2021 299 B 52 089 M 52 089 M
P/E ratio 2021 8,79x
Yield 2021 3,46%
Capitalization 290 B 50 667 M 50 511 M
EV / Sales 2021 1,61x
EV / Sales 2022 1,40x
Nbr of Employees 49 050
Free-Float 64,3%
Chart PETRÓLEO BRASILEIRO S.A. - PETROBRAS
Duration : Period :
Petróleo Brasileiro S.A. - Petrobras Technical Analysis Chart | MarketScreener
Full-screen chart
Technical analysis trends PETRÓLEO BRASILEIRO S.A. - PETROBRAS
Short TermMid-TermLong Term
TrendsBearishNeutralBullish
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus HOLD
Number of Analysts 8
Average target price 28,83 BRL
Last Close Price 22,39 BRL
Spread / Highest target 66,6%
Spread / Average Target 28,8%
Spread / Lowest Target 7,19%
EPS Revisions
Managers and Directors
NameTitle
Roberto da Cunha Castello Branco President, Chief Executive Officer & Director
Andrea Marques De Almeida Chief Financial & Investor Relations Officer
Eduardo Bacellar Leal Ferreira Chairman
Marcelo da Silva Carreras Head-IT & Telecommunications
Marcia Tosta Head-Cyber & Information Security
Sector and Competitors
1st jan.Capitalization (M$)
PETRÓLEO BRASILEIRO S.A. - PETROBRAS-21.00%50 771
SAUDI ARABIAN OIL COMPANY2.00%1 907 502
ROYAL DUTCH SHELL PLC24.07%163 968
TOTAL SE16.08%128 173
PETROCHINA COMPANY LIMITED27.08%118 145
GAZPROM5.95%71 531