(Alliance News) - Royal Dutch Shell PLC has sold its interest in a Gulf of Mexico oil field to Norway's Equinor ASA, it said Wednesday, after Equinor exercised its right of first refusal.
Shell in April originally announced it had sold its 22% stake in the Caesar-Tonga field for USD965 million to Delek CT Investment LLC, part of Delek Group Ltd, an Israeli firm involved in the energy and infrastructure markets.
However, Equinor, a joint venture partner with Shell at Caesar-Tonga, exercised a right of first refusal, meaning it has now taken the stake, for the same price.
Caesar-Tonga is operated by Anadarko Petroleum Corp, holder of a 34% stake, with the rest held by Equinor, now with 46%, and Chevron Corp, with 20%.
"The transaction represents Shell’s focus on strategically positioning the deep-water business for growth and is consistent with its strategy to pursue competitive projects that deliver value in the 2020s and beyond. The sale contributes to Shell’s ongoing divestment programme," said Shell.
Shell's 'A' shares closed up 0.4% in London on Tuesday at 2,612.00 pence each, with 'B' shares ending up 0.3% at 2,618.00p.
