Shell Betting Its Future On LNG
Article By Nick Cunningham published Sun, 12 April 2015 by OilPrice.com
Shell Betting Its Future On LNG
Could the largest energy deal in over a decade begin a new wave of mergers and acquisitions? Is LNG really the future? How Will ExxonMobil Respond? And perhaps more importantly, does the mega-deal between Royal Dutch Shell (RDS.A) and BG Group (LON: BG) portend the end of the bear market for oil?
Shell announced on April 8 that it agreed to buy BG Group for an eye-popping $70 billion.
The move was surprising, in the sense that a lot of companies in recent years have reined in their spending on high-cost projects outside of North America. Shell, in the midst of its own two-year $15 billion divestment campaign to shed unwanted assets, was thought to be trying to make itself leaner and meaner. Having passed on the U.S. shale revolution, it is interesting that Shell’s big splash once again avoided North America.
The TRUTH will set you FREE.
No comments:
Post a Comment