Prumo now owns 100% of Açu Petróleo

Prumo Logística, a company controlled by EIG Global Energy Partners that owns the Port of Açu in São João da Barra (RJ), purchased Oiltanking’s 20% share of Açu Petróleo. As a result, Prumo now owns 100 % of the company specialized in oil transshipment operations. Simultaneously, Açu Petróleo completed a US$ 600 million fundraising from foreign investors to finance a fraction of its growth plan.

Açu Petróleo attempted to go public on the stock exchange between 2020 and 2021 but did not find favorable conditions to go through with it. Conversely, Tadeu Fraga, president of Prumo, says the company is still looking for opportunities to engage in an initial public offering of shares (IPO).

“In addition to other factors, such as market deterioration by external agents,  third-parties do not share the perception that we have of Açu Petróleo yet. We will not go public at a price that is less than what we believe the company is worth. However, we understand that the company will go through an IPO at some point moving forward; this does not change the company’s strategy,” Fraga said.

Açu Petróleo’s investment thesis is based on oil exports growth prospects. The “Empresa de Pesquisa Energética (EPE) estimates that about two-thirds of the national oil output will be exported in 2031. The state-owned company also predicts that the volume of exports will practically double in ten years to 3.41 million barrels a day. That could rank Brazil among the five top global oil exporters.

Açu Petróleo provides oil transshipment services to companies such as Petrobras, Equinor, Shell, TotalEnergies, and Galp and handles around 350,000 barrels/day of oil – around 30% of Brazilian exports.

Prumo decided to double down on the company and approached its former partner Oiltanking with a proposal to retain 100% of the asset. According to Fraga, the operation was an “unexpected opportunity,” that Prumo chose to have “more agility, flexibility, and freedom in the decision-making process” at Açu Petróleo’s growth plan, which includes investing between R$ 2 billion and R$ 2.5 billion in a tank park at Açu with a capacity of 5.7 million barrels and two oil pipelines.

Source: Valor Econômico

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https://valor.globo.com/empresas/noticia/2022/01/20/prumo-passa-a-ter-100-da-acu-petroleo.ghtml

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