Oil giant Shell has sold 19% of its shares in Australian energy firm Woodside Petroleum for $5billion.
Shell is selling half its 156.5 million shares to investors, while Woodside is looking to buy the other half.
After the deal is finalised, which expected to be completed on June 18, Shell will retain less than 5% interest in the Australian company.
The move is part of Shell’s new investment drive to fund new projects as the firm is looks to generate $15billion from sales of assets through 2015.
“Today’s announcement is part of our drive to improve Shell’s capital efficiency and to focus our Australia growth in directly owned assets”, said Ben van Beurden, Shell chief executive.
“It doesn’t change our view of Australia as an important player on the global energy stage, or Shell’s central role in the country’s energy industry.”
Earlier this year the firm agreed to sell its Australian refinery and gas stations to Vitol Group.
Elsewhere the company looks to benefit from a strong Australian LNG market. It currently holds a 25% interest in the Gorgon LNG project and a 67.5% interest in the Shell-operated Prelude Floating LNG project.
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