Shell to dump LPG unit by yearend

Anglo-Dutch group Shell is considering selling its liquefied petroleum gas (LPG) unit by the end of this year, including the controlling stake in Shell Gas Romania. This operation would mark the company”s withdrawal from the Romanian market. Representatives of the Communication Department of the Anglo-Dutch group for Europe explained that Shell had announced in September 2004 its plan to rethink its strategic options in relation to its international LPG operations, following an unsolicited bid from an investor. This review includes Shell LPG Romania. “Throughout the revision we have taken encouragement from the interest displayed by buyers and we will go ahead with the formal sale process by establishing a data room in July 2005. Our intention is to finalise a transaction this year,” Shell representatives explained, adding that the group would continue to invest in this division and pursue current strategies. Shell Gas Romania is a 55-45 joint venture by Shell and the Romanian petroleum company, Petrom. The company was established in late 1995. Finance Ministry data show Shell Gas Romania made 110bn ROL (2.9 million euros) in net profits in 2003 from more than 1,777bn ROL (47.3 million euros) of turnover. ZF