Petrobras has approved the sale of US$2.1bn of assets as it continues its ongoing divestment plan. The company would sell its 35% stake in the offshore Parque das Conchas oil field to Sinochem for US$1.54bn. The Parque das Conchas field is operated by Royal Dutch Shell, which holds a 50% stake in the field. ONGC holds the remaining 15%. Both firms have the right to pre-emt the deal and buy Petrobras's 35% stake within 30 days. Petrobras would also sell its stake in petrochemicals firm Petroquimica Innova to Videolar for US$372m and the assumption of US$9.6m in debt. The group would also sell stakes in other oil fields the company owns abroad, including holdings in several Gulf of Mexico exploration blocks.
Petrobras needs the cash to fund an ambitious US$237bn investment plan through 2017 that will develop massive offshore oil fields in Brazil. Moreover its debt has risen dramatically in recent years to fund its massive investment plan, while the company's income has also been undercut by the government's reluctance to raise domestic fuel prices for fear of stoking inflation. Petrobras imports large amounts of gasoline and diesel to make up a refining shortfall and meet growing demand from Brazilian drivers, but it sells the two fuels at a discount to international benchmarks because of the pricing policy.