Oil Majors to Sell Aussie Refining Biz - Analyst Blog
As per The Australian Financial Review, European energy giants
Royal Dutch Shell plc
) are planning to divest their gasoline stations and refineries
down under. The plan reflects the willingness of the companies to
sell downstream properties and to invest the cash proceeds in
core upstream operations.
Shell is negotiating with an undisclosed leading private equity enterprise, along with a consortium, to divest it's roughly $2.69 billion worth of 900 gasoline stations and refinery in Geelong.
Similarly, BP is evaluating the sale of its total $2.69 billion worth of gasoline stations and refineries located in Queensland and Western Australia.
The leading Australian business and finance newspaper reveals that U.S integrated energy company, Chevron Corp. ( CVX ), may also sell its Australian service stations following in the footsteps of Shell and BP.
U.K.-based Shell is the largest oil company in Europe and has worldwide operations. It is involved in various activities related to oil and natural gas, chemicals, power generation, renewable energy resources, and other energy related businesses.
London, England-based BP is a leading integrated energy firm, providing its customers with fuel for transportation, energy for heat and light, retail services and petrochemical products.
Shell currently holds a Zacks Rank #4 (Sell), implying that it is expected to underperform the broader U.S. equity market over the next one to three months, while BP carries a Zacks Rank #3 (Hold), signifying that it is expected to perform in line with the broader U.S. equity market over the next one to three months.
Meanwhile, one can look at a better-ranked integrated energy player like YPF SA ( YPF ). The stock sports a Zacks Rank #2 (Buy).
BP PLC (BP): Free Stock Analysis Report
CHEVRON CORP (CVX): Free Stock Analysis Report
ROYAL DTCH SH-A (RDS.A): Free Stock Analysis Report
YPF SA D CV ADR (YPF): Free Stock Analysis Report
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