Daily Management Review

Shell to sell stakes in Egypt assets


Anglo-Dutch oil and gas corporation Royal Dutch Shell has agreed with a consortium of Cheiron Petroleum Corporation and Cairn Energy PLC to sell upstream (development and production) interests in Egypt, Shell said in a release.

Billy Hicks
Billy Hicks
According to the report, Shell has signed an agreement with "a consortium comprising subsidiaries of Cheiron Petroleum Corporation and Cairn Energy PLC to acquire Shell's upstream assets in the Western Desert of Egypt".

The deal is valued at $646 million, with an additional $280 million between 2021 and 2024, depending on oil prices and further exploration results, the company said. The deal is awaiting approval from authorities and regulators and is expected to be completed in the second half of this year, it said.

The transaction includes assets comprising the company's interests in 13 onshore concessions and shares in Badr El-Din Petroleum Company (BAPETCO). The release said the deal would allow Shell to concentrate on offshore development.

Royal Dutch Shell produces and processes hydrocarbons in more than 70 countries.

source: reuters.com