Deal Insight
Shell exits its Permian position to ConocoPhillips for US$9.5 billion
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*Please note that this report only includes an Excel data file if this is indicated in "What's included" below
Report summary
ConocoPhillips is buying Shell's Delaware basin assets for US$9.5 billion in cash. The divestment marks a turnaround for Shell. And we think the matter of scale was at the heart of the decision. Grinding consolidation dictates that you’re either a buyer or a seller, and once Shell decided it wasn’t going to be a buyer, there was only one outcome. ConocoPhillips, on the other hand, gained exactly the critical mass it was looking for.
Table of contents
- Executive summary
- Transaction details
- Upstream assets
- Deal analysis
- Upsides and risks
- Strategic rationale
- Oil & gas pricing and assumptions
Tables and charts
This report includes the following images and tables:
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Executive summary: Table 1Shell's Permian acreage with Shell, ConocoPhillips and Oxy wellsUpstream assets: Table 1
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Shell: emissions intensity (2017-2026)Shell: top emitting assets (lifetime absolute basis)Deal analysis: Table 1Deal analysis: Table 2Permian asset: valuation sensitivity to price and discount ratesDeal analysis: Table 3COP vs Shell: production and cash flow impact of accelerated spendShell: liquids production WM forecast vs guidanceShell: WM free cash flow outlook (base case)
- 3 more item(s)...
What's included
This report contains:
