Shell to sell US$3.8bn of UK North Sea assets to Chrysaor

Shell to sell US$3.8bn of UK North Sea assets to Chrysaor

31 January, 2017

Anglo-Dutch oil and gas giant Shell has agreed to sell a package of UK North Sea assets to Chrysaor for a total of up to US$3.8bn (￡3bn).

The sale will include its interests in Buzzard, Beryl, Bressay, Elgin-Franklin, J-Block, the Greater Armada cluster, Everest, Lomond and Erskine, plus a 10% stake in Schiehallion.

An initial consideration of US$3bn (￡2.4bn) will be paid, with a further payment of up to US$600m (￡480m) to be made between 2018-21 subject to commodity prices, with potential further payments reaching US$180m (￡144m) for future discoveries.

Subject to regulatory approvals the deal is expected to be completed in the second half of 2017, upon which approximately 400 Shell staff are expected to transfer to Chrysaor.