Email Facebook Twitter

Exclusive: Hardman & Co call the lithium market: is a change in trend happening?
Tower Resources identify 18 million barrels of contingent reserves worth $118M in Cameroon

Finance & Stock Market News

UPDATE 2-Shell, Blackstone eye $10 bln bid for BHP U.S. shale assets -Sky News

Thu, 8th Mar 2018 18:38

(Updates with details on previous bid)

By Sangameswaran S and Jessica Resnick-Ault

HOUSTON, March 8 (Reuters) - Royal Dutch Shell Plc and U.S. private equity firm Blackstone Group LP are working on a joint $10 billion bid for BHP Billiton Plc's U.S. shale assets, Sky News said on Thursday.

Shell and Blackstone's offer will only be one of several credible proposals that BHP will receive for its U.S. shale operations, Sky News said, citing banking sources.

BHP, Shell and Blackstone declined to comment.

Private equity companies have been active buyers of U.S. shale producing assets in recent years. This week, Devon Energy said it sold some shale-gas assets in Texas for $553 million to a buyer that Tudor Pickering Holt energy analysts identified as a private equity firm. Devon did not disclose the name of the buyer.

BHP's acreage is located adjacent to assets controlled by Shell and Anadarko Petroleum Corp in the Permian Basin of west Texas and New Mexico. Anadarko bid late last year on BHP's onshore properties, according to two people familiar with the transaction.

Anadarko did not immediately respond to requests for comment.

Steve Pastor, BHP's president for petroleum operations, said this week the company would consider swapping certain onshore oil and gas assets with competitors' offshore assets as part of its effort to exit U.S. shale operations.

BHP, the world's largest miner, said last month it expected to receive initial bids for the operations in the June quarter.

The company last year said it would exit its underperforming U.S. shale oil and gas business after coming under pressure from Sydney-based Tribeca Investment Partners to sell the assets.

Activist hedge fund Elliott Management has also called for BHP'S exit from shale to free up capital. (Reporting by Sangameswaran S in Bengaluru and Jessica Resnick-Ault in Houston Editing by Susan Fenton, Mark Potter and Cynthia Osterman)

(c) Copyright Thomson Reuters 2018. Click For Restrictions -

Related Shares:

Back to Finance News

Share Price, Share Chat, Stock Market news at
FREE Member Services
- Setup a personalised Watchlist and Virtual Portfolio.
- Gain access to LIVE real-time Regulatory News (RNS).
- View more Trades, Directors' Deals, and Broker Ratings.
Share Price, Share Chat, Stock Market news at

Datafeed and UK data supplied by NBTrader and Digital Look. While London South East do their best to maintain the high quality of the information displayed on this site,
we cannot be held responsible for any loss due to incorrect information found here. All information is provided free of charge, 'as-is', and you use it at your own risk.
The contents of all 'Chat' messages should not be construed as advice and represent the opinions of the authors, not those of London South East Limited, or its affiliates.
London South East does not authorise or approve this content, and reserves the right to remove items at its discretion.