Shell Petroleum has finalized the sale of its 100% shareholding in Shell Philippines Exploration B.V. (SPEX) to Malampaya Energy XP Pte Ltd (MEXP), a division of Prime Infrastructure Capital Inc. (Prime Infra), with the permission of the joint venture partners and regulatory authorities.
With the completion of the sale, Prime Infra will take over management of SPEX on November 1, 2022, from Shell. Under the new ownership, SPEX employees will remain on the team.
The Malampaya gas field will continue to be operated by SPEX, which will continue to own a 45% operating interest under Prime Infra’s ownership. The other partners of the Service Contract 38 consortium are PNOC Exploration Corporation and UC38 LLC, a division of Udenna Corporation (PNOC EC). They each own 10% and 45% of the participating interests.
“Since operations began in 2002, the Malampaya gas field has supplied an important part of the Philippines’ energy demand through the dedicated work of our partners and staff, past and present,” said Zoe Yujnovich, Shell’s Upstream Director. “This sale supports our strategy to create a resilient and competitive Upstream portfolio.”
Other Shell operations nationwide are unaffected by this agreement. Even after more than a century of prosperous operations, Shell still views the Philippines as a key market. According to its Powering Progress strategy, Shell will keep looking for possibilities in the Philippines where it can apply its international experience.
