Shell announces sale of New Zealand interests to OMV for USD 578 million
16 March 2018
Royal Dutch Shell plc (Shell), reached an agreement today to sell its shares in Shell entities in New Zealand, to OMV for USD 578 million.
This follows a two-year strategic review of Shell’s interests in New Zealand and the sale of Shell’s interest in
Kapuni in 2017. It is consistent with the Shell Group strategy of divesting USD 30bn of assets by end 2018, and
is in line with Shell’s drive to simplify the upstream portfolio and re-shape the company into a world class
The agreement includes Māui, Pohokura and the Tank Farms. Shell has also entered into an agreement with
OMV to sell its interest in (and operatorship of) the Great South Basin venture, which includes a drilling
commitment currently estimated to be USD 50 million.
The Sales and Purchase Agreement is subject to certain conditions which include normal regulatory
approvals and is likely to be complete by Q4 this year.
As part of the deal, the employees of Shell Taranaki Limited and Shell New Zealand will become part of
OMV New Zealand, upon completion of the deal.
“Today’s announcement is another step towards reshaping and simplifying our company, deepening Shell’s
financial resilience and competitiveness, in order to become a world-class investment,” said Maarten
Wetselaar, Integrated Gas & New Energies Director. “We are proud of having worked in New Zealand for
more than 100 years. Our customers, our neighbours, the regulator and partners have been a critical part of
this journey and integral to our successes. I wish them all well.”
“I want to emphasise that the business will continue to be run as it is now, until the deal is complete” says
Rob Jager, Country Chair of Shell Companies in New Zealand. “We have two high priorities over this
transition period: to continue to run our assets in a safe and reliable manner and care for our people.”