Viaro Energy's purchase of Shell and Exxon UK gas assets fails

Shell and Exxon Mobil halted the sale of natural-gas assets in Britain's Southern North Sea to a British oil producer, Viaro Energy. Shell announced this in a Wednesday statement.

Shell stated that the conditions required to close the deal were not met because of changes in market and commercial conditions. Shell said that the parties had agreed on a'sale,' which would involve one of the largest,?longest-producing gas portfolios in the UK Continental Shelf. The sale was to take place by July 2024.

Viaro CEO Francesco Mazzagatti stated that the two parties had mutually agreed not to proceed despite being fully funded.

Shell will continue operating the assets.

Shell said at the time that the British oil giant's interests included 11 gas fields, one exploration prospect, and the Bacton Terminal onshore.

The deal was the result of a review?of its portfolio?in the?Southern North Sea.

Viaro Energy, according to their website, produces approximately 25,000 barrels of oil equivalent per day. They also have working interests in 60 North Sea fields. (Reporting and editing by Mark Potter, Jason Neely and Stephanie Kelly)

(source: Reuters)