Abu Dhabi-based XRG, the international energy investment arm of ADNOC, has agreed to acquire Shell’s 16.67% non-operated interest in Australia’s North West Shelf (NWS) LNG project for a base consideration of USD 1.45 billion (AED 5.3 billion), subject to customary adjustments, plus a milestone-linked contingent payment.
The deal is XRG’s first investment in Australian LNG, a year after it walked away from its bid for Santos, and gives it greater access to Asia-Pacific customers. Woodside operates the NWS, with Chevron, BP, MIMI and CNOOC among its joint venture partners.
The project has liquefaction capacity of 14.3 million tonnes per year and 4.4 trillion cubic feet of remaining resources. The package covers upstream interests, pipelines and midstream infrastructure, and XRG’s subsidiaries will take on secured decommissioning obligations.
The transaction has an effective date of 1 January 2026 and is expected to close in 2027, pending regulatory approvals. Shell leaves the project after four decades as it targets 4% to 5% annual LNG sales growth to 2030.
Gulf Economist Staff Writer