Petrobras is in the final stages of negotiations with China National Petroleum Corp. on a deal that would swap Chinese investment in a Brazilian oil refinery for crude oil imports, sources told Reuters.
This would be China’s first oil refinery operation in either South or North America.
From the deal, China is expected to receive stakes in oil fields in Brazil’s southeastern Campos basin, as well as access to the new Comperj refinery.
One of the sources with knowledge of the matter told Reuters: “We are going to have a deal, but it is complex. We should have an integrated solution.”
China has been fostering a growing interest in Brazil’s natural resources in recent years, which has made its energy sector much more open to foreign investors. In 2016, for instance, Comperj signed a $10 billion deal with China Development Bank, offering oil in exchange for Chinese investment.