BRASILIA: Brazilian state-owned oil giant Petroleo Brasileiro SA has begun the so-called non-binding phase of the process to sell its 34% stake in Argentina's Compañia Mega SA, it said in a securities filing on Thursday.

In the filing, Petrobras, as the firm is commonly known, said Mega operates a plant with capacity to produce more than 40 million cubic meters of natural gas per day.

Petrobras first announced its intention to sell the stake in May, and the sale is part of its ongoing divestment program.