Raízen, a joint venture between Shell and Cosan, has addressed rumors of a sale of its operations in Argentina.
The company strongly denied ongoing sales negotiations in response to an investigation by the Brazilian Securities Commission.
Raízen emphasized the continuous evaluation of business portfolios and asset recycling as part of its strategy.
The company’s presence in Argentina dates back to 2018, when it bought Shell’s downstream business for $916 million.
This acquisition included the Buenos Aires refinery, 665 retail stations and various fuel-related businesses.
The Shell brand remains prominent in Argentina through a licensing agreement with Raízen. Raízen’s global operations extend beyond Argentina, with a significant presence in Brazil.
The company manages approximately 6,400 Shell service stations in Brazil and boasts an annual turnover of approximately $24 billion.
As the leading biofuel producer and fuel distributor, Raízen plays a crucial role in the region’s energy sector. The latest developments highlight Raízen’s commitment to growth and innovation.
The company signed a significant cellulosic ethanol deal with Shell and plans to build five new plants in Brazil.
In Argentina, Raízen announced a $600 million investment over four years to modernize its refinery.
The strategic importance of Raízen’s Argentine operations cannot be overstated. The acquisition of Shell’s assets strengthened the regional partnership between Shell and Cosan.
It allows Shell to take advantage of Argentina’s growing market, while expanding Raízen’s influence in the global biofuels market.
Raízen rejects speculation about the sale of operations in Argentina
Despite denying any current sale negotiations, Raízen’s statement about the ongoing valuation of the portfolio suggests possible changes in the future.
The company’s significant investments and strategic positioning in South America underline its importance in the region’s energy sector.
Raízen’s focus on biofuels and its relationship with Shell position it as a key player in the sustainable energy transition.
Raízen rejects speculation about the sale of operations in Argentina
