Shell Australia, a wholly owned subsidiary of Shell, has agreed to sell its 16.67% non-operated interest in the North West Shelf (NWS) project, based off the coast of Western Australia.
The NWS project includes several interconnected joint ventures between Woodside, Chevron, BP, Shell, MIMI and CNOOC. Wholly owned subsidiaries of XRG PJSC will acquire the interest for a base consideration of $1.45 billion (€1.3 billion), subject to customary adjustments, as well as an additional milestone-linked contingent plan. The interest includes associated upstream interests, pipeline and midstream infrastructure
Cederic Cremers, Shell’s integrated gas president, comments: ‘This agreement reflects our commitment to disciplined capital allocation and portfolio choices. The sale realises value from a mature, non-operated asset and supports Shell’s strategy by focusing investment on advantaged integrated gas positions, as NWS transitions in the future towards a third-party toll-processing model. We are proud of the role we played as a founding partner in NWS and the role NWS has in turn played in Western Australia.’
