Rio de Janeiro Governor Plans Expropriation of Refit Refinery Land to Offset Billion‑Real Tax Debt

Interim governor of Rio de Janeiro, Ricardo Couto, announced a plan to expropriate the site of the Refit refinery. The land would be seized and its value used to offset the refinery’s substantial tax arrears, which amount to about R$14.3 billion in ICMS debt for the state and roughly R$30 billion when combined with liabilities in São Paulo, with total indebtedness across Brazil estimated at R$55 billion.

Refit is owned by businessman Ricardo Magro, who is currently considered a fugitive and is subject to a federal investigation for large‑scale tax evasion and money‑laundering under Operation “Sem Refino.” Magro has not responded to the government’s proposal. The state government has indicated that the seized land could be offered to Petrobras, which has shown interest in expanding its refining capacity, though no concrete terms have been disclosed.

The expropriation move follows related investigations that have also implicated former Rio governor Claudio Castro and senator Ciro Nogueira for alleged attempts to benefit the refinery. No details on compensation or valuation of the land have been released.