Shell Petroleum intends to leave Pakistan
Shell Petroleum intends to leave Pakistan!
The company announced on Wednesday that it intends to its parent company, Shell Petroleum Company Limited.
The company has notified its intent to sell its shareholding in the Pakistan unit.
The Shell Petroleum Company Limited has 165.7 million shares in Shell Pakistan Limited, nearly 77.42% of total shareholdings.
Shell Pakistan, in a notice sent to the Pakistan Stock Exchange (PSX), stated: “We hereby inform you that the Board of Directors of Shell Pakistan Limited (SPL), in a meeting of its Board, held on June 14, 2023, have been notified by The Shell Petroleum Company Limited (SPCo) of its intent to sell its shareholding in SPL.”
The company clarified that any sale will be subject to a targeted sales process, the execution of binding documentation, and the receipt of applicable regulatory approvals.
SPL, however, said that the development would have no impact on its current business operations, which will continue.
“SPL remains committed to continuing to deliver safe and reliable operations for our customers and partners,” it added.
Shell Petroleum Company (SPCo), the immediate parent company, owns 77 percent of the local operations, which suffered losses in 2022, due to exchange rates, the devaluation of the Pakistani rupee, and overdue receivables.
The development comes days after Pakistan received its first shipment of discounted crude oil from Russia.
The SPL is a subsidiary of Shell Petroleum Company Limited, United Kingdom, which is a subsidiary of Royal Dutch Shell Plc, one of the world’s largest energy and petrochemical companies.
