Petrobras' (PBR) board has approved plans to look for a partner to restart operations at its nitrogen fertilizer plants in northeastern Brazil, Reuters reported Friday, citing four sources familiar with the matter.

The plan depends on the company resolving its disputes with chemical firm Unigel, which leased the plants in 2019 under a 10-year agreement, Reuters reported. The two companies are engaged in arbitration proceedings over the lease contract, according to the report.

The sources told Reuters that a formal tender can proceed only once the companies reach a settlement.

Petrobras did not immediately reply to a request for comment from MT Newswires.

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