Aramco, ADNOC and Trafigura vie for Shell’s service stations in South Africa

Saudi Aramco, Abu Dhabi National Oil Company (ADNOC), and commodities trader Trafigura are among the contenders vying to acquire Shell Plc’s service stations in South Africa, sources familiar with the matter told Bloomberg.

The assets have also attracted initial interest from South Africa’s Central Energy Fund, which owns PetroSA, as well as Sasol Ltd. and Oman’s OQ Trading, the people said. A winner could be picked by the end of the year, though it may also slip into 2025, said the people, who asked not to be named since the information is private.

Shell may seek to raise nearly $1 billion from the sale of its downstream unit in South Africa, some of the people said. The divestment includes trading and fuel supply businesses, the company said in May. It has a network of 600 service stations across the country, according to its website.

Shell is working with Rothschild & Co. on the sale, according to the people. The list of bidders is likely to be shortened over the next few weeks, and binding offers made by December, said the people. Shell said it doesn’t comment on divestment activities and Rothschild declined to comment.

Talks with Shell are continuing, and some of the bidders may combine their offers while others may pull out of the race, the people familiar with the plan said. Aramco, ADNOC, Central Energy Fund, OQ Trading, Sasol and Trafigura declined to comment.

“The Shell downstream assets touted to be for sale are an appealing opportunity for consideration, “ PetroSA said in an emailed statement. “Our main focus is on the stabilization of the business towards long-term sustainability.”

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