Petrobras Suspends Major Asset Sales On Court Decision

State-run Brazilian oil company Petroleo Brasileiro SA, known as Petrobras, said July 3 it was suspending some asset sales after a Supreme Court justice ruled that privatizations must be approved by Congress.

While considering which legal actions to take, Petrobras said in a securities filing it would suspend the sale of refineries, gas pipeline company Transportadora Associada de Gas (TAG) and the Araucaria fertilizer factory.

Justice Ricardo Lewandowski ruled last week that any sale of publicly held shares in state-controlled companies or their subsidiaries require congressional approval.