Petrobras and Repsol-YPF Swap Assets

Petrobras' long-delayed $1 billion asset swap that would allow it to enter the Argentine market and Spain's Repsol-YPF to operate in Brazil, should be completed before December 21st. Petrobras' outgoing president Henri Philippe Reichstul plans to sign the treaty, after a delay caused by a recent escalation in Argentina's economic crisis, before he leaves the post on that day. "The Argentine situation has delayed things a bit, we had to discuss some points, but I want to sign it before I leave," Reichstul said. The final closing of the deal had been delayed on several occasions, initially due to Argentine regulators who dragged their feet with the approval and then because of Argentina's mounting woes.

Repsol-YPF would swap one refinery and 735 service stations, representing about 10 percent of domestic retail sales, for 340 service stations in the south of Brazil, a share in offshore oil exploration and a percentage of an oil refinery in Brazil.