Exxon is in the running for Shell’s U.S. chemicals business that could fetch $8 billion, the Financial Times reported today, citing unnamed sources familiar with developments.
The U.S. supermajor is competing with LyondellBasell, Apollo Global Management, and the Kuwait Petroleum Corporation, the unnamed sources also told the publication. The potential buyers have submitted non-binding offers to Shell, with these ranging from offers to buy parts of the business to offers for the whole division.
Shell’s chemicals business in the United States comprises four facilities in Louisiana, Texas, and Pennsylvania that make chemicals used in a range of industries, from plastics production to detergents.
Shell has made two asset sales recently, one of its onshore wind and solar power business in Europe and the other of a stake in a gas project offshore Cyprus. The wind and solar power deal went to TotalEnergies and involved 500 megawatts of combined renewable generation capacity in operation and in development, as well as a pipeline of projects for future development across Italy, the Netherlands, Spain, and the UK.
The transaction is subject to regulatory approvals and is expected to complete by the end of 2026, Shell said earlier this month in the announcement of the deal with TotalEnergies.
The Cyprus gas deal went to Hungary’s MOL, comprising a 35% stake in the Cyprus Offshore Block 12, which the Hungarian energy firm bought for $720 million, as Shell focuses on expanding its liquefied natural gas operations.
Shell has said for over a year that it would adjust its power portfolio to “ensure capital is allocated where it can deliver the strongest long-term value.” That was a pledge in the Capital Markets Day 2025, which the supermajor has since followed through. Asset sales are a big part of that portfolio adjustment, even as the company’s chemicals business contributed significantly to its strong second-quarter results, which hit $9.84 billion in adjusted earnings from higher oil and gas prices, and stronger refining margins, along with higher chemicals margins.
By Irina Slav for Oilprice.com
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