RIO DE JANEIRO (Reuters) - The incoming chief executive of Brazilian state-controlled oil company Petroleo Brasileiro SA PETR4.SA said in a newspaper interview on Monday that BR Distribuidora BRDT3.SA, its fuel distribution unit, is not a natural fit for the company and does not generate returns.
Roberto Castello Branco told newspaper O Estado de S Paulo that Petrobras, as the company is known, should simply focus in the oil exploration and production business, comments that sent shares in BR Distribuidora up more than 5 percent. Vice president elect Hamilton Mourao said last week the next government wants to privatize the fuel distribution company.
He also said that Petrobras should not be a monopolist in oil refining, and that he would analyze all current asset sales, including that of liquid petroleum gas distribution company Liquigas.
Reporting by Gabriel Stargardter
Our Standards: The Thomson Reuters Trust Principles.