MELBOURNE, Australia — Shell Development (Australia) Pty Ltd and Chevron Australia Pty Ltd have entered into a binding agreement for the exchange of Chevron’s 16.7% interest in the East Browse titles and Chevron’s 20% interest in the West Browse titles with Shell’s 33.3% interest in the Clio-Acme titles. In addition to the assets exchanged, a further cash payment from Shell to Chevron of $450 million has been agreed.
Following completion of this transaction, Shell will hold a 35% interest in the West Browse titles and 25% interest in the East Browse titles. The transaction is subject to governmental approval and regular processes for approval and registration of the dealings.The transaction is consistent with Shell’s growth strategy, securing material direct interests in major LNG supply projects.
“This is a good deal, not only because it aligns with Shell’s strategy of bigger direct stakes in key gas resources, but because it also helps to simplify the ownership of the Browse gas fields, Andy Brown, upstream international director for Shell, says.