Shell Unlikley to Sell Woodside Stake This Year

Shell is unlikely to divest its stake in Australia’s Woodside Petroleum this year as it sees prices undervalued, Bloomberg reported

Shell “eventually would sell the stake, it’s no longer strategic,” Chief Financial Officer Simon Henry told reporters at the annual general meeting in The Hague, Bloomberg reported. “We’re not going to sell below value,” he said.

In April this year, Woodside put on hold the development of the proposed 12 mtpa $40 billion Browse LNG project at James Price Point near Broome, Western Australia. Woodside said that cost escalation has been such that the total costs for Browse have resulted in the current development concept not being commercial.

Shell holds 23 percent stake in Woodside. It said last year that the stake didn’t fit with its long-term plans, Bloomberg reported.