Major mining and steelmaking companies, including Vale (NYSE: VALE) and CSN (BVMF: CSNA3), won lots in a natural gas auction held by Brazilian state-run oil firm PPSA on Thursday, data from the auction platform showed.
The first auction held by PPSA for direct sales of state-owned natural gas to end consumers concluded with all the volume of 1.1 million cubic meters per day being purchased.
The offer was divided into 110 lots, which were awarded to companies in key sectors that are major gas consumers.
Winners included Vale, CSN, Gerdau (BVMF: GGBR4), Braskem (BVMF: BRKM5), Samarco, Ternium Brasil (NYSE: TX), Evonik (ETR: EVK) and Ingredion (NYSE: INGR).
“A historic auction for Brazil,” Mines and Energy Minister Alexandre Silveira said in a post on X.
PPSA expects to raise 376 million reais ($74.6 million) over the 10 months of gas supply awarded at the auction, its president said.
($1 = 5.0390 reais)
(Reporting by Leticia Fucuchima in Sao Paulo; Writing by Fernando Cardoso; Editing by Gabriel Araujo and Matthew Lewis)
