08 April 2018, News Wires – The Hague-based LNG giant Shell has sold its entire 90% stake in the Gaza Marine natural gas field offshore Palestine, LNG World News reports
The company said it had reached an agreement with the Palestine Investment Fund (PIF) to divest its entire interest and operatorship in the Gaza Marine license.
According to Shell, the sale is part of its $30 billion asset disposal program following the takeover of UK-based LNG player BG Group in 2016.
The field is estimated to hold about 1 trillion cubic feet (Tcf) of gas.
“This deal is consistent with Shell’s strategy to high-grade and simplify our portfolio. It helps to concentrate our upstream footprint where we can be most competitive and build our world-class investment case,” Shell said.
The Palestine Investment Fund said in a statement on Thursday that it would break down the 90% stake it will own in Gaza Marine.
Once completed, PIF will hold 27.5%, partner Consolidated Contractors Company will also have 27.5%, and a new international operating company will have the remaining 45%.
“PIF, together with its investment partner CCC will focus their efforts on identifying a capable international operator, advancing gas sales agreements and preparing a field development plan with the selected operator,” the company said.
The value of the deal was not revealed.