Shell acquires Pavilion Energy to boost LNG operations
Published on: Jun 18, 2024
The company currently supplies about 6.5 million tonnes of LNG yearly and its operations also include trading and shipping.
Shell Eastern Trading, a subsidiary of Shell, has reached an agreement with Carne Investments, an indirect wholly-owned subsidiary of Temasek, to acquire 100% of the shares in Pavilion Energy.
Pavilion includes a global liquefied natural gas (LNG) trading business with a contracted supply volume comprising about 6.5 million tonnes per annum. Headquartered in Singapore, the company’s global energy business encompasses LNG trading, shipping, natural gas supply and marketing activities in Asia and Europe.
“The acquisition of Pavilion Energy will strengthen Shell’s leadership position in LNG, bringing material volumes and additional flexibility into our global portfolio,” said Zoë Yujnovich, Shell’s Integrated Gas and Upstream Director.
The acquisition will be absorbed within Shell’s cash capital expenditure guidance, which remains unchanged.
Integration of portfolios will commence after completion of the deal, which is expected by Q1 2025, subject to regulatory approvals and fulfillment of other conditions precedent.
