Shell has agreed to sell its 16.67% non-operated stake in the North West Shelf (NWS) liquefied natural gas project in Western Australia to a subsidiary of Abu Dhabi National Oil Co. (ADNOC). The deal includes base consideration of $1.45 billion, plus a milestone-linked contingent payment.
The divestment is part of Shell’s strategy to simplify its portfolio by selling mature assets and focusing investment on more advantageous integrated gas projects. For ADNOC’s investment arm, XRG, the acquisition marks its first entry into Australia’s LNG sector. It also supports XRG’s goal of building a leading international gas business to serve growing demand in the Asia-Pacific region.
The transaction is expected to be completed in 2027, pending regulatory approvals.