KUALA LUMPUR: Shell Malaysia today said it is committed to its mobility business in Malaysia, in response to news that it is in talks to sell its gas station business to Saudi Aramco.
"Malaysia is important to Shell. We remain committed to the mobility business in the country," it said in clarifying news on its retail fuel business.
Yesterday, Reuters reported that Shell is in talks with Saudi Arabia-state owned Saudi Aramco to sell its gas station business in Malaysia, in a deal that could be worth up to US$1 billion (RM4.379 bil).
It cited information from unnamed sources.
The report said that talks began in late 2023 and a deal may be finalised in the coming months.
"Meanwhile, two sources briefed on the matter put a potential deal size at roughly RM4 billion to RM5 billion (US$844 million to US$1.06 billion)," it said.
The report said the sale is part of CEO Wael Sawan's efforts to focus on the company's operations in its most profitable businesses.
"Shell has said it would look to divest 500 gas stations this year and next.
"It is in the process of selling its Singapore refinery and petrochemical complex," it added.