26 February 2013
Details
Royal Dutch Shell Plc.
continues to expand Liquefied Natural Gas business
by acquiring part of Repsol's S.A. LNG portfolio
out of North America,
including supply positions in Peru and Trinidas & Tobaco,
for a cash consideration of $4.4 billion.
The transaction ,
which has an effective date of 1 October 2012,
is expected to close in the second half of 2013.
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Benefit to Shell
- The acquisition will add a new dynamic to Shell's portfolio,
namely LNG capacity in the West Atlantic from
Atlantic LNG in Trinidad & Tobaco, and
in the East of Pacific from Peru LNG.
- These additions will complement Shell's existing LNG capacity
in Africa, Asia, Australia, the Middle East and Russia.
- The acquisitions should add
some 7.2 million tons per annum (mtpa) of
LNG volumes through long-term offtake agreements,
including some 4 mtpa of equity LNG plant capacity.
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About the transaction
The transaction will add
a) Net 4.2 mtpa equity LNG plant capacity comprising
* ALNG trains 1-4 14.6 mtpa capacity on a 100 % basis
(20-25 % equity per train);
operated by Atlantic LNG Company of Trinidad and Tobaco
* Peru LNG 4.45 mtpa capacity, on a 100 % basis
(acquisition : 20 % equity ; 100 % offtake) ;
operated by Peru LNG Company
* BBE power plant in Spain (25 %, 800 MW)
* a fleet of LNG carriers , comprising both
long term and short term time charters
b) A material LNG marketing and trading operation,
with 7.2 mtpa of LNG through
long-term offtake agreements.
c) As part of this agreement, Shell has commitment to
supply around 0.1 mtpa of LNG to
Repsol's Canaport LNG terminal in Canada
over a period of 10 years.
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