TCU questions Petrobras (PETR4) about bidding for works at Pernambuco refinery – Money Times


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TCU questions Petrobras about bidding for works at Pernambuco refinery (Image: REUTERS/Sergio Moraes)

A competitive process for choosing companies that will carry out the construction of train II at the Abreu e Lima Refinery (Rnest) is being questioned by Federal Court of Auditorssaid to Reuters the Secretary of External Energy Control of the TCU, Alexandre Figueiredo.

The TCU requested information from the state-owned company about two weeks ago and is still awaiting a response. The oversight body has been paying special attention to the refinery considering the history of corruption cases in the Rnest construction works.

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“The Rnest train II process can continue because there has been no precautionary decision for now. We are questioning the procedure they are using,” said the secretary, on the sidelines of the ROG.e conference, for the oil and gas sector, in Rio de Janeiro.

He did not give details, as the process is confidential.

In January of this year, the Petrobras (PETR4) detailed a plan to invest between R$6 billion and R$8 billion in expanding Rnest's oil processing capacity to 260,000 barrels per day (bpd) by 2028, up from the current 100,000 bpd.

Rnest began operations in 2014, with the departure of the first set of units (train I, in industry jargon) at the Suape Industrial Port Complex, in Pernambuco, but its original project has not been completed to date, after experiencing several delays and cost increases.

This happened after allegations investigated by Operation Lava Jato pointed to financial embezzlement of billions of reais in the construction of Rnest, through payment of contracts with inflated prices to companies that provided services directly or indirectly to Petrobras.

The bidding for the works on train II of refining has already been carried out by the oil company, according to the TCU technician.

The objective of the agency's technical unit is to better understand how Petrobras made decisions in the processes.

According to the TCU technician, the bidding was divided into “six or seven lots”, and the winning companies had already been defined.

Petrobras' deadline for a response is this week. The details of the TCU's questioning have not been revealed, since the process is still “in a confidential phase,” Figueiredo said.

Earlier this year, Petrobras held a grand ceremony at the facility to announce plans to expand the refinery.

When contacted, Petrobras did not comment on the matter until the publication of the report.

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