Oil giant Shell today announced that it had finished offloading shares in its New Zealand business to Austrian oil company OMV.
The £456m sale includes Shell’s interest in the Maui, Pohokura, and Tank Farm assets, and operatorship of the Great South Basin venture, which was subject to a separate agreement.
Shell said the deal was part of the firm’s effort to simplify its portfolio.
The company also confirmed that employees of Shell Taranaki and Shell NZ 2011 are now part of OMV New Zealand.
Zoe Yujnovich, Shell’s vice president in Australia and New Zealand, said: “We are proud of having worked in New Zealand for more than 100 years and completion of the sale to OMV marks an important milestone in the company’s history.
“Shell staff in New Zealand, past and present, have been key to building a successful New Zealand business. I wish our colleagues all the very best as OMV takes the business forward.”
In February, OMV announced it had returned to the black after booking record production and lowering costs.
The company completed the sale of its UK business to Aberdeen-based Siccar Point Energy for $1billion at the start of 2017.
It increased output to 377,000 barrels per day in 2017, while costs dropped 15% to $8.8 per barrel.
OMV notched up pre-tax profits totalling £1.3 billion in 2017, compared to a deficit of £200 million in 2016.