Brazil awards Santarém port terminal concessions

The Porto Santarém consortium, formed by Brazilian companies Petróleo Sabbá and Petrobras Distribuidora, has won two concessions for fuel terminals at Santarém port in Pará state, according to a federal government release.

Launched by national water transportation agency Antaq, the tenders were for the STM 04 and STM 05 terminals. The group bid a total 68.2mn reais (US$21.8mn) for both, offering 18.2mn reais and 50mn reais, respectively.

While 25% of that sum must be paid immediately, the remaining balance will be paid in four installments, according to the release.

Besides the canon offer, the consortium will pay a 2,500-real monthly concession fee plus 1.35 reais per tonne of fuel handled for STM 04 and a 25,000-real monthly fee plus 5.40 reais per tonne handled for STM 05.

The overall investment required at the two facilities is 29.8mn reais, which will be used to implement more gas, ethanol and diesel supply tanks, according to the release.

Currently, the terminals handle storage of liquid fuels such as gasoline, diesel and ethanol coming from Manaus port in the neighboring Amazonas state. The contracts fall under the country's investment partnerships program, PPI, a public-private partnership strategy which is also part of Brazil's growth acceleration plan, Crescer.