Shell to sell Browse stake to BP

A unit of LNG giant Shell has signed a deal with BP to sell its interests in the Woodside-led Browse project in Australia.

Shell Australia revealed the deal for the 27 percent stake in the Browse project in a statement issued on Saturday saying that the agreement remains subject to regulatory approvals.

The firm did not disclose any financial details regarding the deal.

“Browse remains an important Australian resource which if developed will provide much needed energy to customers as the energy market transitions towards lower carbon energy,” Shell Australia said.

“Shell regularly assesses its portfolio to inform capital allocation and maximize returns and performance however, the Browse asset is no longer a strategic fit in the context of Shell’s global portfolio,” it said.

BP Developments Australia, a unit of BP, currently has a 17.33 percent stake in the project.

Following completion of the deal, BP would have a 44.33 percent stake in the project.

Japan Australia LNG, a joint venture of Mitsubishi and Mitsui, owns a 14.4 percent stake, while PetroChina International, a unit of PetroChina has a 10.67 percent.

Woodside leads the project with a 30.60 percent stake.

The Australian LNG firm said in September last year that it was progressing with its plans to send natural gas from the Browse Basin offshore Western Australia to North West Shelf’s Karratha gas plant on Burrup peninsula.

Woodside and its partners are proposing to develop the Brecknock, Calliance, and Torosa fields located approximately 425 km north of Broome in the offshore Browse Basin.

The proposed development concept includes two floating production storage and offloading (FPSO) facilities delivering 11.4 Mtpa of LNG/LPG and domestic gas, and an about 900 km pipeline to existing NWS project infrastructure.

The Karratha gas plant in Western Australia, part of the NWS project, shipped its 6000th cargo of LNG in September last year.

It has five LNG trains with a capacity of 16.9 million tonnes per year. Also, it features domestic gas trains, condensate stabilization units, and LPG units.

Australia’s oldest LNG plant has been liquefying gas from fields located off the north-west coast of Australia since 1989.

However, these fields are running out of gas and the project is now shifting its focus towards a different business model aimed at processing gas from third parties.

Most Popular

Venture Global kicks off CP2 LNG site work

US LNG exporter Venture Global said it had initiated full mobilization and started site work at the company’s third LNG export facility, CP2 LNG.

Purus orders LNG carrier in South Korea

London-based Purus Marine has ordered one 180,000-cbm liquefied natural gas (LNG) carrier in South Korea.

Excelerate advances Vietnam LNG talks

US FSRU player Excelerate Energy is moving forward with its plans to supply Vietnam with liquefied natural gas (LNG) supplies from the US.

More News Like This

Shell takes FID on Aphrodite project to supply Trinidad’s Atlantic LNG

A unit of UK-based LNG giant Shell has taken the final investment decision for the development of the Aphrodite gas field to supply Trinidad and Tobago’s Atlantic LNG export plant.

Brazil’s GNA launches second LNG power plant

Brazilian joint venture Gas Natural Acu has launched commercial operations at the second plant as part of its LNG-to-power project in the Port of Acu in Rio de Janeiro.

Peru LNG terminal shipped five cargoes in May

Peru LNG’s liquefaction plant at Pampa Melchorita has shipped five liquefied natural gas cargoes in May, two more than in the previous month.

BP seals LNG SPA with India’s Torrent Power

A unit of UK-based energy giant BP has signed a long-term liquefied natural gas (LNG) supply deal with India's Torrent Power.