Shell Overseas Holdings Limited (“Shell”) announced the completion of the sale of Shell Exploration and Production Oman Limited (“SEPOL”), which holds a 17% participating interest in the Mukhaizna Production Sharing Agreement in Oman, to IOCL Singapore PTE Ltd. (“ISPL”), a subsidiary of Indian Oil Corporation Limited (IndianOil). The transaction is valued at US $329 million and includes the marketing rights for entitlement oil. The effective date of the transaction is 1st January 2017.

Upon completion of this transaction, IndianOil’s stake in Mukhaizna will be 17%, with the remaining 83% owned by Occidental Mukhaizna LLC (45%), Oman Oil Company S.A.O.C (20%), Liwa Energy Limited (15%), Total E & P Oman (2%) and Partex (Oman) Corporation (1%). Occidental Mukhaizna LLC is the operator of the Mukhaizna asset.

Shell Oman Country Chair, Chris Breeze said “We are pleased to assist the entry of IndianOil, an integrated energy company with activities in oil, gas, petrochemicals and one of India’s largest companies, into the upstream sector in Oman. Shell remains fully committed to Oman’s energy future and is actively seeking to make further investments in the country.”

Shell’s decision to divest continues to be driven by our strategy to sell non-core assets or companies to re-shape Shell into a simpler, more resilient and focused company. This sale takes Shell a step closer to its divestment target of $30 billion.

Shell is active in Oman across the oil and gas industry and is involved in joint venture and independent activities ranging from research and development, exploration and production to trading and development. Shell also implements extensive social investment programmed that contribute to the sustainable development of the country.

Shell has a 30% share in Oman LNG LLC, 49% ownership of Shell Oman Marketing Company SAOG, and 34% of Petroleum Development Oman.