SHELL is reportedly in talks with Saudi Arabia’s state-owned Saudi Aramco to sell its petrol station business in Malaysia, Reuters reports.
Sources said talks began in late 2023, and a deal may be finalised in the coming months.
They also pegged the deal at roughly four to five billion ringgit.
With around 950 stations across Malaysia, Shell has the second-largest fuel retail network in the country after Petronas.
Reuters reached out to Shell which declined to comment on the talks but said Malaysia was an important country to the company.
Saudi Aramco also declined to comment, when contacted, according to the report.
In addition to its fuel stations, according to the report, Shell sells industrial lubricants, produces crude oil and natural gas offshore of Sarawak and Sabah states, and is a joint venture partner in two liquefied natural gas (LNG) ventures.
According to the report, the sale of the retail network is part of CEO Wael Sawan's efforts to focus the company's operations on the most profitable businesses.
It noted that Shell has said it would look to divest 500 gas stations this year and next.
It is in the process of selling its Singapore refinery and petrochemical complex. – May 6, 2024.
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