Shell nears $9.5 billion deal to sell West Texas oil field assets to ConocoPhillips
The Shell logo is displayed in front of a Shell gas station on July 30, 2020 in San Rafael, California. Royal Dutch Shell’s second quarter adjusted earnings were $638 Million, which is compared to $3.5 Billion last year.
Getty Images The Permian Basin assets of the oil giant are close to being sold to, according to sources who spoke to CNBC on Monday.| Getty Images
Oil giant Royal Dutch Shell is nearing a deal to sell its Permian Basin assets to ConocoPhillips, sources told CNBC’s Brian Sullivan on Monday.
Sources say that ConocoPhillips was the successful bidder to purchase Shell’s whole West Texas acreage in a deal worth approximately $9.5 billion.
Sources say that the assets are spread over approximately 240,000 acres.
Sources told CNBC that the sale will close during the fourth quarter.
Shell would be completing its withdrawal from Texas’ onshore oil production with this deal. Shell will keep its offshore Texas production.
As the climate changes, the oil industry is under greater pressure to reduce its carbon footprint and invest in renewable energy.
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