On Monday, US private equity company EIG Global Energy Partners submitted a binding offer for Petroleos Brasileiros (Petrobras)’ TBG and TSB natural gas pipelines in Brazil, according to a source.
However, EIG made its binding offer alone when it is still in discussions with Enbridge and Fluxys about a potential partnership investing in and operating the asset, should EIG's bid prove successful, the source added.
There is also no clarity if there were competing offers, as Petrobras, EIG, Enbridge, and Fluxys all did not provide comments.
Petrobras has a 51% stake in TBG and 25% of TSB and they were first put on sale in December 2020 as a part of the company’s plan to divest non-core assets in order to reduce its debt load and sharpen its focus on deepwater oil production.
TBG, formally Transportadora Brasileira Gasoduto Bolivia-Brasil, manages the 2,593-km (1,611-mile) Gasbol Brazilian side of the pipeline. It passes through five southern states. TSB, formally Transportadora Sulbrasileira de Gas manages two pipelines in the Rio Grande do Sul, which borders Argentina and Uruguay.
