Business Irish

Thursday 17 August 2017

Shell to sell its interest in the Corrib gas field

The deal will mean Shell exiting the upstream business in Ireland
The deal will mean Shell exiting the upstream business in Ireland

Donal O’Donvan

Shell has agreed a deal to sell its 45pc interest in the Corrib gas field for $1.23bn (€1bn) to a unit of the Canada Pension Plan Investment Board (CPPIB).

The price includes an upfront €830m payment plus up to €250m that will be paid between 2018 and 2025, subject to gas price and production.

Read more: Shell reports more than 300pc increase in earnings for the first quarter as oil prices bounce

The deal will mean Shell exiting the upstream business in Ireland, and is subject to partner and regulatory consents.

Shell Energy Europe Limited has signed an offtake agreement, committing to buy 40pc of Corrib gas for up to three years following completion.

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