|Shell to acquire Chevron’s TT subsidiary |
Sasha Harrinanan Tuesday, May 30 2017
Energy giant Shell has signed an agreement to acquire the interests of Chevron’s local subsidiary; Chevron Trinidad and Tobago Resources SRL (CTTR), including its holdings in the the East Coast Marine Area Blocks 6, 5a and E.
Shell announced the agreement on Monday afternoon, saying it is subject to certain customary conditions.
“This transaction, for approximately US $250 million, will allow Shell to optimise its developments across the East Coast Marine Area, a core component of Shell’s interests in Trinidad and Tobago (TT), supplying gas to both the domestic market and Atlantic LNG.
The deal is expected to close around mid-year,” Shell stated.
Commenting on the deal, Vice President Shell TT, Derek Hudson, said, “TT represents a rich opportunity for us to continue building our integrated gas position in country and securing new competitive production.” He added that, “Shell continues to actively evaluate other options to increase supply from our existing assets, as well as pursue additional opportunities such as the previously announced purchase of Centrica’s interests in the North Coast Marine Area.” Meanwhile, the TT page of Chevron’s website has been updated to reflect the agreement reached two days ago.
“On May 29, 2017, Chevron entered into an agreement to sell all of its shares in CTTR to Shell’s BG International Limited, and all of its interest in Trinling Limited, an LNG marketing and transportation company, to Shell’s BG Gas International Holdings, B.V.
The transaction includes CTTR’s interest in Block E, Block 5(a) and Block 6, located in the East Coast Marine Area offshore Trinidad,” CTTR stated.