Saudi Arabian Oil Company (Saudi Aramco) and Royal Dutch Shell plc ("Shell") announce today the signing of binding definitive agreements between Saudi Refining, Inc. ("SRI") (a wholly owned subsidiary of Saudi Aramco) and SOPC Holdings East LLC (a U.S. downstream subsidiary of Shell) on the separation of assets, liabilities and businesses of Motiva Enterprises LLC (Motiva). This step marks a major milestone toward closing the transaction. Subject to regulatory approval, the transaction is expected to close in the second quarter of 2017. Abdulaziz Al-Judaimi, Senior Vice President of Downstream, Saudi Aramco, said: "This transaction is well aligned with Aramco's global downstream strategy. Motiva is a strong competitor among U.S. refiners, and we value this important link with the dynamic U.S. energy sector. Our intent is to continue providing Motiva with strong financial support as it transitions into a stand-alone downstream affiliate. We have a long history with the Motiva team, and we're proud of the impressive strides they have made in recent years toward building on the company's core strengths." John Abbott, Shell Downstream Director, said: "A simplified, integrated business structure will emerge from this deal for us in the United States and that's consistent with the stated goal of making Shell a world-class investment opportunity. We have today created a set of assets that plays to our strengths. This portfolio upgrade will increase optionality and strengthen Shell's Downstream business." -- More
