The Hague-based LNG giant Shell said Thursday it sold its stake in a New Zealand natural gas field.
Shell has sold its 50 percent stake in the Kapuni gas field to Todd Energy, a New Zealand company that has been in the Kapuni joint venture since the venture’s formation in 1955.
Under the deal, Shell will also increase its holding to 100 percent in the joint venture that operates the field, Shell Todd Oil Services (STOS).
This will simplify Shell’s operational structure in preparation for any possible portfolio changes on the remaining assets, the company said in a statement.
The sale and purchase agreement is subject to certain conditions which include normal regulatory approvals and is likely to take some months to complete.
As part of the deal, about 50 employees working on Kapuni may have their positions and their employment transferred to Kapuni Services Limited, which upon completion will be owned by Todd Energy, the statement reads.
Shell said it would continue to explore divestment options for its remaining assets and interests in New Zealand.
“This is consistent with the Shell Group’s approach to re-shaping its global portfolio in line with its long-term strategy,” it added.