Shell closes on Repsol LNG asset acquisition

Royal Dutch Shell PLC reported the completion of its acquisition of Repsol SA’s LNG portfolio outside North America for a reduced net cash purchase price of $3.8 billion. The deal was first reported in February 2013 (OGJ Online, Feb. 26, 2013).

Shell will assume $1.6 billion of balance sheet liabilities relating to existing leases for LNG ship charters.

The company will now undertake an additional 7.2 million tonnes/year of directly managed LNG volumes, encompassing LNG supply in the Atlantic from Trinidad and Tobago, and in the Pacific from Peru.

Specifics of the deal include:

• Net 4.2 million tpy equity LNG plant capacity, increasing Shell’s equity LNG capacity to 26 million tpy from 22 million tpy.

• Atlantic LNG Trains 1-4; 14.8 million tpy capacity on a 100% basis (20-25% equity for each train); operated by Atlantic LNG Co. of Trinidad & Tobago.

• Peru LNG 4.45 million tpy capacity, on a 100% basis (acquisition: 20%; equity: 100% offtake), operated by Peru LNG Co.

• A fleet of LNG carriers, comprising long-term and short-term time charters.

• LNG volumes of 7.2 million tpy through long-term off-take agreements.

As part of this agreement, as previously disclosed, Shell has committed to supply 100,000 tpy of LNG to Repsol’s Canaport LNG terminal in Canada over 10 years.

Related Articles

DOE approves LNG exports to non-FTA countries from Oregon project

03/24/2014 The US Department of Energy conditionally approved Jordan Cove Energy Project LP’s application to export LNG through its proposed terminal on Orego...

MARKET WATCH: Front-month crude oil contract closes up, gas down on week

03/24/2014

The front-month crude oil contract ended the week higher Mar. 21 while natural gas futures prices edged slightly lower.

HSC remains closed, fuel cleanup continues after barge collision

03/24/2014 The Houston Ship Channel (HSC) remained closed to unauthorized vessels Mar. 24 as the result of a temporary emergency safety zone being established...

Judge bars Anadarko e-mails as evidence in Macondo blowout hearing

03/21/2014 A federal district judge in New Orleans refused to accept e-mails between Anadarko Petroleum Corp. and BP PLC as evidence in a hearing to determine...

Careers at TOTAL

Careers at TOTAL - Videos

More than 600 job openings are now online, watch videos and learn more!

 

Click Here to Watch

Other Oil & Gas Industry Jobs

Search More Job Listings >>
Stay Connected