Neol Giant Shell will leave the Perm pool – its largest oil field in the United States. The company intends to refuse oil and focus on the transition to clean energy to save the planet, reports Reuters.
Shell will sell all its assets in the region where about 175 thousand barrels of oil per day, the American company ConocoPhillips for 9.5 billion dollars in cash. After the announcement of the sale of Shall shares rose by 3.15 percent. According to the terms of the transaction, about 91 thousand hectares of the Earth, as well as almost one thousand kilometers of the relevant infrastructure – oil and gas pipelines, as well as water pipelines – will be overcome by ConocoPhillips. Shell plans to return to shareholders of seven billion dollars as dividends after the transaction.
After the sale of Perm Assets, Shell in the United States will remain the oil and gas field in the Gulf of Mexico, where the company is the largest operator. Previously, Shell belonged gas assets in Appalachi, but they were sold in 2020. Transactions confirm the desire of Shell to reduce emissions and make their activities more environmentally friendly, which regulators and investors require, notes the agency.
For ConocoPhillips, the transaction with Shell has become the second large purchase over the past year. In October 2020, the American company acquired the manufacturer of shale oil Concho Resources.
Investors put pressure on the largest oil companies in the world. To reduce global carbon emissions and deal with climate change, they require reducing investment in fossil fuel. So, Shell declared its intention to reduce greenhouse gas emissions in aviation. On the way to this goal, the company wants to produce two million tons of environmentally friendly aviation fuel (Sustainable Aviation FUELS or SAF) for aircraft by 2025, which is ten times more of its total world production.