20th Jun 2018 09:32
LONDON (Alliance News) - Oil major Royal Dutch Shell PLC on Wednesday said it has sold its 15% holding in Malaysia LNG Tiga Sdn Bhd as part of its global divestment programme.
Shell, the London Stock Exchange's largest firm by market capitalisation, has disposed of the stake for USD750 million to Sarawak State Financial Secretary. The net consideration, after adjusting for dividends Shell has received up to completion, is USD640 million.
The company said Sarawak State Financial already had a 10% stake, meaning it now holds 25% of Malaysia LNG. Other shareholders are Malaysian state oil company Petroliam Nasional Bhd, or PETRONAS, with a 60% holding, Nippon Oil Finance (Netherlands) BV with 10%, and Mitsubishi Corp subsidiary Diamond Gas (Netherlands) BV with 5%.
Shell said the deal was part of its strategy to simplify its portfolio, though it still remains "committed" to business in Malaysia.
In early May, Shell sold its entire stake in Canadian Natural Resources for USD3.3 billion, while in April it sold its Argentinian downstream business for USD950 million. In March, it disposed of its 20% stake in Iraq's West Qurna 1 oil field for USD406 million, and the same month the Financial Times reported Shell was to leave New Zealand, selling its assets there for USD578 million.
Shell 'A' shares were up 0.9% at 2,584.00 pence each, and 'B' shares were up 0.9% at 2,687.00p.
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