Shell to Sell Singapore Refinery, Chemicals Assets to Chandra Asri-Glencore JV

By Christian Moess Laursen

Shell has agreed to sell its Singaporean refining and petrochemical assets--its largest production center in the Asia-Pacific region--to a joint venture between Chandra Asri Capital and Glencore, as part of the company's efforts to focus operations on the most profitable businesses.

The British energy heavyweight said Wednesday that it is selling all of interest in its Energy and Chemicals Park in Singapore, including the physical assets and commercial contracts, to the joint venture.

"This agreement marks a significant step in Shell's ongoing efforts to high-grade our chemicals and products business," Shell's Downstream, Renewable and Energy Solutions Director Huibert Vigeveno said.

The divestment is part of the company's focus to boost its chemicals and products portfolio, and follows a review of the refining and petrochemical assets--located on the Pulau Bukom and Jurong island in Singapore--which was announced a year ago.

The Pulau Bukom assets include a 237,000 barrels-per-day refinery and a 1.1 million metric tons-a-year ethylene cracker. The petrochemicals-manufacturing site on Jurong island is Shell's largest petrochemicals production and export center in the Asia-Pacific region.

Subject to regulatory approval, the deal is expected to complete by the end of 2024.

Shell didn't provide a value for the deal.

Write to Christian Moess Laursen at christian.moess@wsj.com

(END) Dow Jones Newswires

May 08, 2024 03:59 ET (07:59 GMT)

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