Shell offloads New Zealand assets in sale to OMV
Royal Dutch Shell plc (Shell) has reached an agreement to sell its shares in Shell entities in New Zealand to OMV for USD 578 million.
The sale follows a two-year strategic review of Shell’s interests in New Zealand and the sale of Shell’s interest in Kapuni in 2017. The sale is consistent with the Shell Group strategy of divesting USD 30 billion of assets by end 2018, and is in line with Shell’s drive to simplify the upstream portfolio.
The agreement includes Māui, Pohokura and the Tank Farms. Shell has also entered into an agreement with OMV to sell its interest in (and operatorship of) the Great South Basin venture, which includes a drilling commitment currently estimated to be USD 50 million.
“Today’s announcement is another step towards reshaping and simplifying our company, deepening Shell’s financial resilience and competitiveness, in order to become a world-class investment,” said Maarten Wetselaar, Integrated Gas & New Energies Director.
The Sales and Purchase Agreement is subject to certain conditions which include normal regulatory approvals and is likely to be complete by Q4 this year.
