Report: Shell considering sale of Rosetta block offshore Egypt

Shell is reportedly looking to sell its Rosetta offshore production license it operates in Egypt.

According to Egypt Daily News, the oil and gas giant is giving up on further any development work on the concession located in the Mediterranean Sea due to a lack of economic feasibility.

The newspaper cited an unnamed source who said that production from Rosetta, currently at 40 million cubic feet a day, will cease due to natural decay not being offset by development drilling.

The Egyptian newspaper further gives a potential rationale behind the alleged decision to divest the asset which Shell obtained through the acquisition of BG Group last year.

Namely, Egypt Daily News has pointed to its previous report according to which Egypt owes shell $1.3 billion for the share of gas produced from the Rashid and Borrolos concessions.

Offshore Energy Today reached out to Shell, seeking comment.

A Shell spokesperson responded: “The Rosetta concession is a legacy BG late life asset where Shell holds 80%, along with Edison (20%). We continue to operate the concession.”

“Shell actively manages its portfolio to ensure the strategic fit of its assets, profitable growth and shareholder value. Evaluating new business development opportunities is a normal part of any company’s portfolio management activities, including Shell’s.”

The spokesperson would not comment on the allegations that Shell is divesting due to the lack of payments on behalf of the Egyptian government.

 

Offshore Energy Today Staff

Share this article

Follow Offshore Energy Today

Events>

<< Apr 2017 >>
MTWTFSS
27 28 29 30 31 1 2
3 4 5 6 7 8 9
10 11 12 13 14 15 16
17 18 19 20 21 22 23
24 25 26 27 28 29 30

OGA 2017

OGA 2017 is the most beneficial way to meet, discuss and acquire the latest in the Oil & Gas industry! …

read more >

Offshore Technology Conference (OTC) 2017

The Offshore Technology Conference (OTC) is where energy professionals meet to exchange ideas and opinions to advance scientific…

read more >

Middle East Offshore Support Journal Conference

The 4th Annual Middle East OSJ Conference in Dubai brings together leading shipowners, oil and gas majors, shipbuilders, investors…

read more >

Future Conference: Wind & Maritime

The sixth Future Conference: Wind & Maritime – the conference in north-eastern Germany that connects wind wnergy with maritime industry…

read more >

Jobs>

Assistant Driller

Maersk Drilling Norge AS was established in 1990 and employs a staff of approximately 1000 people.

apply

Electrician

For one of our clients we are looking for a Ships Electrician. Our client is a company with worldwide activities. You will work in a rotation of 4 till 6 weeks on and off.

apply

QC Coordinator Offshore

Do you attach great importance to quality and do you have an affinity with offshore projects? Then read about what Van Oord can offer you.

apply