Petrobras, a Brazilian oil and gas company, has said that its subsidiary Petrobras Energia has approved the terms and conditions of the sale of the refining and distribution assets in Argentina to Oil Combustibles.

The deal includes a refinery located in San Lorenzo, Santa Fe province; a river unit; and a fuel marketing network linked to the refinery, consisting of 360 service stations and their associated wholesale customers.

The offer for the mentioned assets was approximately $36m. In addition, inventories of oil and of the different products will be sold to Oil Combustibles, on the closing date, for approximately $74m. The total amount of the transaction is estimated at some $110m.

The deadline for the completion of the sale was estimated at ninety days and is subject to the governmental approvals required by Argentina legislation.

The operation does not include the sale of the reformer unit that Petrobras Energia has in its Puerto General San Martin Petrochemical Complex.