RIO DE JANEIRO (Reuters)-Petrobras has signed an up to five-year operating and maintenance contract with industrial services company Engenman aimed at resuming operations of its nitrogen fertilizer factories in Bahia and Sergipe by the end of the year, the oil company said on Tuesday.
The Bidding for the Hiring of ENGEMAN was possible after Petrobras signed in May an agreement with Unigel to terminate a lease and related disputes, allowing the units to return to the state’s possession.
“The forecast is that the possession for Petrobras will be restored next month, in which time will demobilize its teams and perform other processes of the closing of the lease,” said Petrobras, in the statement on Tuesday.
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The oil company had leased the factories to Unigel in 2019 for ten years, but they were paralyzed in 2023, on the grounds that the high natural gas prices in Brazil made the operation profitable.
Petrobras’ advance with the hiring of ENGEMAN meets the aspirations of President Luiz Inacio Lula da Silva’s government, who has defended since the beginning of his mandate the return of investments of the state in the sector, since Brazil, an agricultural power, is strongly dependent on fertilizer imports.
Petrobras investments in the segment, however, are seen as controversial, as the imported product arrives in Brazil at competitive costs.
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Petrobras added on Tuesday that the contract with Engeman will generate about 800 direct and indirect jobs to serve the two factories, with prioritization of local labor, “reinforcing Petrobras’ commitment to the development of the national production chain.”
ENGEMAN serves industries from various sectors, such as oil and gas, mining, chemistry, petrochemicals and fertilizers, paper and pulp, steel, naval and energy, among others, with reference activities in industrial maintenance and maintenance management, according to the company’s website.
In the nitrogen fertilizer factories of Bahia (FAFEN-BA) will be produced ammonia, pearly urea and ARLA-32, in a contract that also includes the operation of the Maritime Terminals of Ammonia and Urea at the Port of Aratu, Candeias, Bahia. Already in FAFEN-SE will be produced ammonia, pearly urea and granulated urea.
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(By Marta Nogueira)