Shell to sell GoM field interests to W&T Energy

Shell has agreed to sell interest in six Gulf of Mexico oil and gas fields to W&T Energy VI, LLC., for $450-million.

Offshore staff

HOUSTON --- Shell has agreed to sell interest in six Gulf of Mexico oil and gas fields to W&T Energy VI, LLC., for $450-million.

The fields being divested include Tahoe (Shell 70%) and SE Tahoe (Shell 100%), Main Pass 252 Complex and Bud Pipeline (Shell 100%), non-operated position in the Marlin (various Shell ownership 11.5% - 25%) and Dorado oil assets (Shell 25%), and a 6.25% over-riding royalty interest in the Droshky field. Subject to Letter of Intent, the deal could include GoM shelf property and associated assets (Shell 64.3%).

Shell says these fields produce 18,000 boe/d and have proved reserves of 27 MMboe (net to Shell’s interest).

“We are focusing our investment on the most promising growth opportunities and that means selling some fields that no longer fit our strategy,” said Marvin Odum, director Upstream Americas. “This is part of our plan to divest $7-8 billion in assets worldwide in 2010 and 2011.”

11/04/2010

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