Shell energy transition sparks talks to sell Norwegian business

LONDON, Jan 10 (Reuters) – Shell has entered into talks with Harbor Energy to sell its Norwegian oil and gas fields in 2022 but has been unable to complete the deal due to gas price volatility and uncertain long-term prospects, three company sources told Reuters.

The London-headquartered British-Dutch energy giant has said it will focus oil and gas operations in nine basins around the world and will seek to phase out oil and gas production while developing renewable energy and low-carbon operations.

Shell and Harbor Energy declined to comment.

Shell shares lost about 0.3% by 17:00 Moscow time, while Harbor Energy rose almost 2.5%.

Negotiations with Harbor Energy included Shell assets in Norway, its smaller operations in Italy and several legacy assets in the British North Sea, the sources said.

New Shell CEO Wael Sawan, who replaced Ben van Beurden on Jan. 1, is not currently reviewing the role of these assets, two sources said.

Shell and ConocoPhillips are the last of the largest oil corporations to produce offshore Norway.

The original message in English is available at the code: (Ron Busso with the participation of Nerijus Adomaitis, translated by Tomas Kanik)

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