Ultrapar gets CADE approval for LPG terminal at Pecém Port with Supergasbrás

Ultrapar Participações (BOV: UGPA3) announced on Monday (August 25) that Brazil’s antitrust authority CADE (Administrative Council for Economic Defense) has unanimously and unconditionally approved a partnership between its subsidiary Ultragaz and Supergasbrás Energia for the construction and operation of a Liquefied Petroleum Gas (LPG) terminal at the Port of Pecém, in Ceará.

The project will be carried out through a special-purpose entity (SPE), with equal ownership by both partners. The terminal is expected to have a storage capacity of approximately 62,000 tonnes and is slated for completion in 2028. The total investment will amount to R$1.2 billion, split evenly between Ultrapar and Supergasbrás.

The initiative aims to enhance the security of LPG supply in Brazil’s North and Northeast regions, which have historically faced domestic production shortfalls. The new terminal is expected to become a strategic hub for logistics and supply, increasing the sector’s competitiveness.

According to the company, the project strengthens Ultragaz’s position in the energy market and creates conditions for expanding its presence in key areas of the country.

Ultrapar Participações is one of Brazil’s largest business groups, with operations spanning fuel distribution (Ipiranga), liquefied petroleum gas (Ultragaz), bulk liquid storage (Ultracargo), and chemical specialties (Oxiteno, until its sale was completed in 2022). Its main competitors include Vibra Energia (BOV: VBBR3), Raízen (BOV: RAIZ4), and Copagaz.

For investors, the move underscores the importance of closely monitoring the company’s next steps, as successful execution of the project could unlock significant long-term value.

Source: ADVFN

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