Shell amid talks with BP to buy its stake in the Shearwater O&G field
By Akshay Kedari  Date: 2019-04-25

Shell amid talks with BP to buy its stake in the Shearwater O&G field

Royal Dutch Shell holds a stake of 28% in Shearwater, while BP holds close to 27.5%.

Discussions between oil and gas company Royal Dutch Shell and BP are reportedly underway, with regards to the former intending to buy a part of the Shearwater oil and gas field from BP. If reports are to be believed, the Dutch company aims to purchase BP’s stake in the said oil field located in the British North Sea for a valuation of close to USD 250 million.

In the event that the deal goes through, it would mark a step forward for BP, steering the company toward its long-standing target of offloading some of its assets worth USD 5 billion to USD 6 billion. As per sources familiar with the knowledge of the matter, the company has been looking to sell its assets ever since it acquired BHP’s shale oil and gas portfolio, for a valuation of USD 10.5 billion, in the United States last year.

As per authentic sources, Royal Dutch Shell holds a stake of 28% in Shearwater, BP holds close to 27.5%, while the remaining 44.5% is held by the conglomerate Exxon Mobil. However, both BP and Shell have already offloaded a large proportion of their assets in the North Sea basin since the last few years.

Despite having sold some of their assets in the North Sea, both BP and Shell have been pouring in their coffers in new projects in the region – specifically in the West of Shetlands area.

For the uninitiated, Shearwater is located 225 km east of Aberdeen, and at peak production, its gas export capacity is anticipated to stand at close to 400 million standard cubic feet of gas per day.

Reportedly, both Shell and BP have declined to comment on their supposed discussions. Authentic sources however, continue to maintain that the two firms have been negotiating since the last few weeks and may be inching closer toward an agreement. The deal may still fall through, added the sources.

Source Credits: https://uk.reuters.com/article/uk-bp-northsea-shell/shell-in-talks-to-buy-bp-stake-in-north-sea-gas-field-sources-idUKKCN1S014L

About Author

Akshay Kedari    

Akshay Kedari

A qualified computer engineering graduate, Akshay Kedari takes pride in having his way with words. Following his passion for content creation, he writes insightful pieces on aeresearch.net and a few other portals. Also endorsed with a short-term experience in web deve...

Read More

More News By Akshay Kedari

Chancellor Rishi Sunak pledges £100bn to transform UK’s infrastructure
Chancellor Rishi Sunak pledges £100bn to transform UK’s infrastructure
By Akshay Kedari

As per the statement of chancellor Rishi Sunak, Britain’s first nationwide infrastructure plan would provide a “once in a lifetime investment” of approximately £100 billion to drive the nation’s recovery from the COVID-1...

Telus Communications selects Nokia to deliver 5G services in Canada
Telus Communications selects Nokia to deliver 5G services in Canada
By Akshay Kedari

According to reliable sources, Nokia Corporation has reportedly been selected by Canada-based Telus Communications Inc. to provide 5G services in Canada. The Finnish multinational technology giant will reportedly support the Canadian mobile service o...

TBI, Oracle to jointly launch cloud-based vaccine management system
TBI, Oracle to jointly launch cloud-based vaccine management system
By Akshay Kedari

Tony Blair Institute (TBI) and Oracle have recently introduced cloud technology to Africa for effective management of public health programs in the region. As per credible sources, initially, Ghana, Sierra Leone and Rwanda will use the new Oracl...

Minerva Bunkering unveils ADP for better clarity in bunker deliveries
Minerva Bunkering unveils ADP for better clarity in bunker deliveries
By Akshay Kedari

Swiss supplier of marine fuels Minerva Bunkering has reportedly introduced an innovative solution called Advanced Delivery Platform (ADP) in a bid to increase efficiency and transparency during bunkering operations. According to reliable sources, Min...

TestGorilla secures $1.2M in CapitalT-led pre-Series A funding round
TestGorilla secures $1.2M in CapitalT-led pre-Series A funding round
By Akshay Kedari

In a pre-Series A funding initiative led by a consortium of international angel investors and CapitalT, pre-employment testing software player, TestGorilla, has reportedly secured an amount of USD 1.2 million. This announcement comes amid TestGorilla...