Shell Cuts Stake in OZ QCLNG Facilities
Shell has agreed to sell a 26.25% interest in the Queensland Curtis LNG (QCLNG) common facilities to Global Infrastructure Partners Australia for US$2.5bn, the Anglo-Dutch major said on December 21.
The common facilities are currently 100% owned by Shell and include LNG storage tanks, jetties and operations infrastructure that service QCLNG’s LNG trains. Shell will remain the majority owner and operator of the facilities after the deal is closed, which is expected to happen in the first half of 2021 after Australian regulatory approval.
The decision is in line with Shell's strategy of divesting non-core assets to simplify its portfolio, the company said. “The sale will contribute to Shell’s expected divestment proceeds, without impact on people or the operations of the QCLNG venture, and aligns Shell’s interest in the common facilities with its 73.75% interest in the overall QCLNG venture,” it said.
Besides Shell, other partners in the QCLNG project include Cnooc and Tokyo Gas. The two-train, 8.5mn metric tons/year liquefaction plant produces LNG from coalbed methane.