Shell Disposes of Sinopec Shares

The Royal Dutch/Shell Group of Companies announced the placement of its holding of approximately 1.9 billion shares in China Petroleum and Chemical Corporation (Sinopec).

The sale was achieved through a bookbuilt placing of shares on public markets achieving HK$ 3.125 per share and raising approximately HK$5.8 billion (US$742 million) before fees and expenses.

Sinopec remains a valued partner of Shell and we are jointly developing a number of projects under a Strategic Alliance Agreement signed in 2000. These projects include:

  • A coal gasification joint venture in Hunan Province, which is now under construction.
  • Five PSCs signed last year with Sinopec, CNOOC and Unocal for the exploration and production of natural gas in the East China Sea.
  • A 500-station retail joint venture, which is now awaiting final government approval of a joint venture contract.