NRF helps Shell sell minority stake in Queensland Curtis LNG facilities

The oil and gas giant will retain majority stake under the terms of the deal

NRF helps Shell sell minority stake in Queensland Curtis LNG facilities

Norton Rose Fulbright (NRF) has advised oil and gas giant Shell on the sale of a 26.25% stake in its Queensland Curtis LNG (QCLNG) facilities to Global Infrastructure Partners Australia for US$2.5bn.

The multi-billion-dollar deal is among Shell’s largest commercial transactions in Australia and is one of the world’s first significant mid-stream liquified natural gas (LNG) asset acquisitions by an infrastructure fund manager.

Under the terms of the deal, the oil and gas supermajor will retain the majority stake of QCLNG, which include LNG storage tanks, jetties, and operations infrastructure that service QCLNG’s LNG trains.

Perth-based partner Paul Lingard, who is also co-head of the NRF’s energy group in Australia, and Brisbane-based partner Keira Brennan, who heads the firm’s Australia infrastructure, mining, and commodities team, led the cross-border team that handled the transaction.

Special counsels Nikki van der Meer and Michelle Ralston, senior associate Jessica Rusten, associates Frances Hewitt and Ellen Whittred, and lawyer Alvin Ngo provided support.

The team advised on all aspects of the deal and developed a transaction structure that included the establishment of a new joint venture and the processing of documents required for the effective streaming of income and stapling of risk to a new joint venture participant.

“This is a landmark oil and gas transaction globally in 2020/2021 and we expect this to pave the way for similar infrastructure investment in Australia and around the world,” Lingard said. “We are pleased our in-depth knowledge and experience of the LNG industry and infrastructure market enabled us to assist Shell here to achieve its key commercial objectives.”

“This was a unique opportunity for us to workshop and develop innovative solutions for a complex transaction – all while working completely remotely,” added Brennan. “It has been a powerful reminder of our collective strength and ability to build strong team and client relationships regardless of where we are located.”