ADNOC's XRG to buy Shell's stake in Australia's North West Shelf LNG project
Abu Dhabi's XRG has agreed to acquire Shell's stake in the North West Shelf LNG project for $1.45 billion, pending regulatory approvals.
XRG, a wholly owned unit of ADNOC, has agreed to buy Shell's 16.67 per cent non-operated interest in Australia's North West Shelf LNG project. The deal is valued at $1.45 billion, or Dh5.3 billion, and includes an additional payment linked to project milestones. The companies announced the agreement on November 3.
The purchase still needs regulatory approvals. Shell expects the deal to close in 2027, and the buyers will take on decommissioning obligations. It marks XRG's first investment in Australian LNG.
Mohamed Al Aryani, President of XRG International Gas, said the project helped create Australia's LNG industry and continues to support the country's economy and energy security. The North West Shelf, Australia's first LNG project, has run for more than four decades from the Karratha gas plant, with most of its LNG volumes going to Japan. Other partners in the joint venture include Woodside, Chevron, BP, MIMI and CNOOC.