Apollo, Blackstone, and KKR in $15B battle for Shell’s LNG stake

Shell is weighing bids from some of the world’s largest private equity firms as it looks to sell a major stake in its LNG Canada project, according to people familiar with the matter.

Apollo Global Management, Blackstone, and KKR have emerged as final contenders in a deal that could be valued between $10 billion and $15 billion, the sources said. The auction is being conducted confidentially, News.Az reports, citing Reuters.

The asset in question is part of Shell’s 40% holding in LNG Canada, one of the first large-scale liquefied natural gas export facilities in North America with direct shipping access to Asian markets. The project only recently began production and is expected to play a growing role in global energy flows.

A sale would allow Shell to unlock capital from a lower-return asset while potentially keeping some exposure, depending on the final structure of the deal. Other partners in the project include major international energy players such as Mitsubishi Corporation and Petronas.

The bidding has drawn strong interest as North American energy infrastructure becomes more attractive to investors, particularly amid shifting global supply dynamics and rising demand for long-term, stable assets.

The competing firms are reportedly leveraging capital from their insurance arms to support bids, reflecting a broader trend where large investment groups increasingly use insurance-backed funds to finance infrastructure and energy deals.

The outcome of the auction is not yet decided, and Shell could still retain part or all of its stake depending on negotiations.

 
 
 

News.Az 

By Aysel Mammadzada