Total acquires capacity at Petrobras’ Bahia LNG terminal

Total of France has agreed to acquire capacity at Petrobras’ Bahia LNG regasification terminal as a part of implementing its alliance between the two companies agreed in October. 

Under the terms of this assets package deal, the acquisition of the Upstream and Downstream interests in Brazil from Petrobras will represent a global value of around US$2.2 billion, made of cash, carry and contingent payments, total said in a statement on Thursday.

In addition to the acquisition of regasification capacity at the Bahia terminal, Total will purchase a 50 percent interest in two co-generation plants connected to the terminal, located in the Bahia area as well as pipeline transport capacity, enabling Total to supply gas to the two co-generation plants.

The facility is located in Bahia de Todos os Santos, in Salvador, Bahia and has a regasification capacity of 14 million cubic meters of natural gas per day.

Total further said that it will also become partner to Petrobras in two pre-salt licenses of the Santos basin the BMS-11 with the Iara fields currently under development where Total will acquire a 22.5 percent interest, and in the BMS-9 with the Lapa field which just entered into production and where Total will become the operator of the license with the acquisition of a 35 percent interest.

The two companies will combine their expertise in deep-water to jointly develop solutions for long subsea tie-backs, reservoirs with high CO2 content and digital geosciences data management.

Total will also offer to Petrobras the option of taking a 20 percent stake in the Perdido Belt deepwater exploration Block 2 recently awarded in Mexico.