Shell Gas Holdings (Malaysia) Limited, a subsidiary of Royal Dutch Shell plc, said Wednesday that the company had completed the sale of its 15 percent shareholding in Malaysia LNG Tiga Sdn Bhd (MLNG Tiga) to the Sarawak State Financial Secretary (SFS) for an agreed consideration of $750 million.
According to the statement, the transaction has an economic date of Sept, 1, 2017 and the net final consideration paid to Shell after adjustments for dividends the company received up to completion was approximately $640 million.
With the completion of this transaction, SFS increased its shareholding in MLNG Tiga to 25 percent, it said.
The other shareholders are Petronas with 60 percent equity, Nippon Oil Finance (Netherlands) B.V. with 10 percent equity, and Diamond Gas (Netherlands) B.V., a Mitsubishi Corporation subsidiary with 5 percent equity.
Shell said the sale was consistent with the company's strategy to simplify its portfolio and reshape itself into a 'simpler, more resilient and focused' company.
Following the expiry of the MLNG Satu and Dua joint venture agreements, MLNG Tiga was Shell’s only remaining interest in the Petronas LNG complex in Bintulu, Sarawak, according to the statement.
Malaysia LNG Sdn Bhd, a Petronas subsidiary, operates MLNG Tiga as part of the complex.
By Gulsen Cagatay
Anadolu Agency
energy@aa.com.tr