This excerpt taken from the PBR 6-K filed Nov 13, 2007.
Petrobras signs purchase agreement of Japanese refinery
(Rio de Janeiro, November 9, 2007). PETRÓLEO BRASILEIRO S/A - PETROBRAS, [Bovespa: PETR3/PETR4, NYSE: PBR/PBRA, Latibex: XPBR/XPBRA, BCBA: APBR/APBRA], a Brazilian international energy company, announces that signed today (11/09) with TonenGeneral Sekiyu Kabushiki Kaisha (TGSK), a subsidiary of ExxonMobil, the purchase document (Share Sale and Purchase Agreement) of 87.5% interest in the Japanese Company Nansei Sekiyu Kabushiki Kaisha (NSS), for the value of approximately US$ 50 million. Besides TonenGeneral, NSS also has Sumitomo as a shareholder, which will remain with 12.5% of NSS in partnership with Petrobras.
The acquisition includes a refinery with capacity of 100 thousand bpd, that process light crude oil and high quality products, a crude oil and products terminal with storage capacity of 9.6 million barrels, three piers with capacity to receive product vessels of up to 97 thousand deadweight tonnage (dwt) and a mono buoy for Very Large Crude vessels (VLCC) of up to 280 thousand dwt.
It is planned the use of terminal capacity in order to boost the commercialization of biofuels in Japan and other Asian markets and complement current trading of crude oil and products into Asian market of approximately 100,000 bpd.
This business is an important achievement for Petrobras as the company will start refining operations in Asia for the first time. This agreement is in alignment with the Companys Strategic Plan for the crude oil refining capacity expansion abroad. It also contributes in a significant way to increase the commercialization of crude oil and products produced by Petrobras.
This document may contain forecasts that merely reflect the expectations of the Companys management. Such terms as anticipate, believe, expect, forecast, intend, plan, project, seek, should, along with similar or analogous expressions, are used to identify such forecasts. These predictions evidently involve risks and uncertainties, whether foreseen or not by the Company. Therefore, the future results of operations may differ from current expectations, and readers must not base their expectations exclusively on the information presented herein.
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Date: November 09, 2007
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