Linklaters represents Petrobras in US$562 million sale of Pasadena Refinery to Chevron
Linklaters has represented Petrobras Americas Inc. and its Brazilian parent Petróleo Brasileiro S.A. - Petrobras in the sale of all the outstanding shares and equity interests of Pasadena Refining System, Inc. to Chevron U.S.A. Inc., a wholly owned subsidiary of Chevron Corporation (NYSE: CVX), for US$562 million, of which US$ 350 million corresponds to equity and US$ 212 million corresponds to working capital.
Assets include a 466-acre complex in Pasadena, Texas which features a 323-acre refinery and a tank farm with a storage capacity of 5.1 million barrels, in addition to 143 acres of land. The refinery has the capacity to process approximately 110,000 barrels per day of light crude.
U.S. Corporate partner Alberto Luzárraga, senior associate Gabriel Silva, and associate Isabella Correa provided advice. U.S. counsel Shane Milam and Michael Kam provided tax and pension advice, respectively.
The transaction is part of Petrobras' Partnerships and Divestments Program and is the third major deal in recent months that Linklaters has provided Petrobras advice on. Last October, Linklaters advised Petrobras on two transactions totalling US$2.5 billion, including the formation of a US$1.1bn joint venture with Murphy Oil and the US$1.4bn sale of Petrobras’ African oil unit.
The sale is subject to customary closing conditions, including regulatory approvals.