PBR - Petrobras inks $3.7B raw material supply deal with Braskem

Petrobras ([[PBR]] +1.7%) says it signed a $3.7B contract to supply Brazilian petrochemicals company Braskem (BAK) with naphtha, ethane and propane over the next five years through year-end 2025.Petrobras agrees to deliver ~2M metric tons of naphtha to Braskem's São Paulo manufacturing facility and ~580K mt of ethane and propane to Braskem's Rio de Janeiro facilities.Separately, Petrobras released teasers to sell its 51% stake in TBG and its 25% interest in TSB.The company says the sales are part of its strategy of portfolio optimization and capital allocation improvement.Petrobras "will be well-positioned to drive substantial and valuable shareholder returns" in several years, The Value Portfolio writes in a bullish analysis published recently on Seeking Alpha.

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Petrobras inks $3.7B raw material supply deal with Braskem