Shell in discussions about selling NZ businesses
Released 3 November 2009
Attention all newsrooms
Shell in exclusive discussions for potential sale of its downstream businesses in New Zealand
Shell can confirm today that we are in exclusive discussions with a consortium of Infratil Ltd and New Zealand Superannuation, led by Morrison and Co, for the potential sale of the downstream businesses in New Zealand.
This does not guarantee a sale and it is too early for Shell to confirm a deal or comment on timescales. Further detail regarding the discussions, bids and terms is commercially sensitive and confidential. We hope to finalise these discussions within the next month.
As previously announced, the review is to determine the best long-term ownership options for downstream businesses in New Zealand. Shell has an obligation to ensure best value is being achieved with all its assets. The Shell Group has an active portfolio management strategy, and like any competitive business, Shell continually reviews its portfolio in an effort to improve overall performance.
Shell will continue to carry out its normal
activities safely, delivering excellent customer service. As
ever, safety remains the top priority.
No further comment will be made at this time.
The scope of the downstream review includes retail, commercial fuels, bitumen, aviation, marine, chemicals, supply and distribution businesses. It also includes Shell’s shareholdings in Loyalty New Zealand (25%) and New Zealand Refining Company (17%).
The review does not include Shell’s shareholding in Fulton Hogan or Shell’s upstream activities in New Zealand. We have been in separate discussions with Fulton Hogan about the future of our shareholding in that company.