Brazil energy company Eneva says talks to acquire Urucu cluster from Petrobras failed

Credit: REUTERS/Sergio Moraes

Adds more information about the negotiations, quotes from Eneva's executive

Jan 28 (Reuters) - Brazilian energy company Eneva SA ENEV3.SA said on Friday it has unsuccessfully ended negotiations with oil company Petrobras PETR4.SA to acquire Urucu cluster, in the northern region of the country.

According to Eneva's securities filing, the parties chose to end the negotiations, which started in February 2021, without penalties for either.

The company said it will continue to employ efforts to expand its operations in the northern region of the Brazil.

Petrobras also confirmed the information on a securities filing, adding that reinforces its commitment to the broad transparency of its divestment strategy.

Eneva's Chief Financial Marcelo Habibe told Reuters that the parties were unable reach a deal for the price of the cluster, adding that the figure Eneva was willing to pay was "very far" from the one requested by Petrobras. Habibe did not reveal any figure.

"When we looked at (Urucu), oil price was $47, today it is around $90, moving towards $100. The asset appreciated, but we don't believe it will stay at that price level (...) Buying an oil asset at the apex (of price) doesn't make sense at this moment," he said.

However, Habibe added that Eneva may evaluate a new offer for Urucu if Petrobras resumes the divestment process in the future.

(Reporting by Carolina Pulice and Letícia Fucuchima; Editing by Leslie Adler and Aurora Ellis)


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


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