John Myers Jr., Business Reporter

PDVSA has struck a deal with Jamaica for 49 per cent of Petrojam, but now Petrobas says it still hopes to invest in the energy company. - File

Brazil's Petrobras has signalled it is ready to strike a deal on Petrojam, notwithstanding that preference has already been given to rival oil giant Venezuela's PDVSA to buy into the state energy company.

"Even though it was not discussed, Petrobras would still be open to discussion about a partnership with the oil refinery," said Brazilian Ambassador to Jamaica Cezar Amaral.

Although energy figured prominently in cooperation talks between Jamaica and Brazil during president Luiz Inacio Lula da Silva's visit here in August, a month ahead of national elections, the issue of Petrojam's hunt for an equity partner was never aired then.

But, September 3 has brought a shift in the political landscape, and Brazil has chosen to go public with its interest.

"They (Petrobras) are still interested, if that deal should fall through with PDVSA," said the Ambassador.

Reviews and transitions

Amaral's disclosure, made in a Financial Gleaner interview, has been timed with the review of policies and projects under way and the transitioning to a new political administration led by Bruce Golding.

Energy also has a new man at the top, Clive Mullings.

Petrojam is selling 49 per cent of its stake to raise capital for its expansion.

A deal was struck with PDVSA, which is paying US$63.7 million for the stake, and was given the greenlight in May by the Cabinet under the former administration of Portia Simpson Miller.

Petrobas, last month, approached Petrojam about establishing a distribution hub at its Kingston port for ethanol exports in the region, but never mentioned that it was interested in investing.