According to OilPrice, Shell has agreed to divest its wholly-owned subsidiary BG Cyprus Ltd to MOL Group of Hungary for $720 million. The transaction marks another step in the UK-based supermajor's strategic realignment toward high-value liquefied natural gas assets. BG Cyprus holds a 35% non-operated interest in Cyprus Offshore Block 12, with the deal subject to customary adjustments and potential milestone-linked contingent payments.
The Cyprus gas asset centers on the Aphrodite gas field, which is operated by Chevron's local subsidiary. The block is held by a consortium that includes Chevron, MOL, and NewMed Energy, positioning the Hungarian energy company to expand its portfolio in the Eastern Mediterranean energy sector. The transaction underscores MOL's continued investment in offshore gas exploration and development.
Shell's divestment reflects broader industry trends as major energy companies optimize their asset portfolios and pivot toward either low-carbon energy solutions or higher-return upstream opportunities. For MOL, the acquisition strengthens its position in Mediterranean energy markets while adding to its natural gas resources at a time of strategic importance for European energy security.