ISLAMABAD – In another worrying economic development, Shell Petroleum Company, the oldest energy giant in the country with a strong and rich legacy, has announced to exit Pakistan as the economic meltdown exacerbated.
Shell Pakistan announced that its parent company notified its decision to sell its shareholding in the cash strapped country.
In a notice sent to Pakistan Stock Exchange, the oil company said “We hereby inform you that the Board of Directors of Shell Pakistan Limited (SPL), in a meeting of its Board, held on June 14, 2023, have been notified by The Shell Petroleum Company Limited (SPCo) of its intent to sell its shareholding in SPL.”
The oil giant mentioned that any sale will be subject to a targeted sales process, and the execution of binding documentation, and the receipt of applicable regulatory approvals.
The recent decision stemmed from economic losses as company faced back to back blows mostly due to exchange rates, devaluation of local currency.
Shell Pakistan also shared vies to international media, saying the parent company started sales process to sell its 77.42 percent shareholding in Shell Pakistan Ltd including Downstream businesses and ownership of Pak-Arab Pipeline Company Ltd.
Shell mentioned that decision to sell stakes would have no impact on current business operations as the company remains committed to continuing to deliver safe and reliable operations.
For the unversed, Shell Petroleum Company is a subsidiary of Shell Petroleum Company Limited, which is considered one of the top energy firms.
