April 7, 2005
Argentine Enarsa and Venezuelan PDVSA team up to buy Argentine operations of Uruguay's Ancap

(Latin America News Digest) - "Argentine state-owned oil company Empresa Nacional de Energía (Enarsa), in cooperation with Venezuela's state oil giant Petróleos de Venezuela SA (PDVSA) have teamed up to buy the services stations of Uruguayan state owned crude oil group Ancap in Argentina .

Argentina's Planning Minister Julio de Vido discussed with PDVSA representatives the deal.

A total four bidders are interested to buy Ancap's 172 services stations in Argentina, the Uruguayan company's vice president Raul Sendic said. Argentine petrochemical group Petroquimica Cuyo, controlled by local investors, Brazil's state owned giant Petroleo Brasileiro (Petrobras) and another company, which sent its offer via U.S. investment bank J.P.Morgan, are the remaining three bidders, Ancap noted.

Ancap's services stations network Sol Petroleo in Argentina posted losses of $26 mln (20.2 mln euro) in 2004.

The newly appointed Uruguayan Government, that took power on March 1, 2005, decided to sell the Sol Petroleo due to financial difficulties. Ancap has operated the Sol Petroleo network in Argentina since 1998.

Sol Petroleo controls 3.0 pct of Argentina's fuels and diesel oil market, dominated by Spanish-Argentine oil company Repsol YPF and Anglo-Dutch oil and gas giant Shell".