Exploration & Production

Bongkot deal axed to save face in Bangkok

Shell has dropped a deal to sell its stake in Thailand’s Bongkot field to KUFPEC following reported pressure from the government Shell has dropped a deal to sell its stake in Thailand’s Bongkot field to KUFPEC following reported pressure from the government.
By The Wildcat 9 October 2017 0 27888
An offshore platform in Thailand's Bongkot field. The Bongkot South production platform offshore Thailand. (Shell)

Pressure from the Thai government appears to have scuppered Shell’s proposed $900 million sale of its share in one of Thailand’s biggest gas fields to Kuwait’s state oil company.

In January, the Anglo-Dutch major announced the divestment of its 22.2% stake in the Bongkot field to Kuwait Foreign Petroleum Exploration Co. (KUFPEC) as part of its debt-reduction campaign. 

Shell released a statement last week saying the deal was dropped because it could not agree with the Thai government on the treatment of share sales within the timeframe...