Royal Dutch/Shell sells its Sinopec shares

Royal Dutch/Shell Group sold its 1.9 billion shares in China Petrochemical Corp. (Sinopec) for $742 million, before fees and expenses, on the public markets.

March 18, 2004

By OGJ editors
HOUSTON, Mar. 18 -- Royal Dutch/Shell Group sold its 1.9 billion shares in China Petrochemical Corp. (Sinopec) for $742 million, before fees and expenses, on the public markets.

"Sinopec remains a valued partner of Shell, and we are jointly developing a number of projects under a strategic alliance agreement signed in 2000," Shell said.

The projects include:
--A joint venture for a coal gasification facility in Hunan Province. The facility is under construction.
-- Five Production Sharing Contracts signed last year with Sinopec, China National Offshore OIl Corp., and Unocal Corp. for the exploration and production of natural gas in the East China Sea.
-- A 500-station retail joint venture, awaiting final government approval of a contract.