SUBSCRIBE
PROFILE

Shell sells stake in Colonial Enterprises to Brookfield for USD 1.45 bn

Shell has signed an agreement to sell its 16.125% stake in Colonial Enterprises to Brookfield Infrastructure, valuing the transaction at USD 1.45 bn as part of its operational streamlining strategy.

Share:

Subscribe for unlimited access to all energy sector news.

Over 150 multisector articles and analyses every week.

Your 1st year at 99 €*

then 199 €/year

SUBSCRIBE — 99 € for the 1st year

Create a free account to read this article

*renews at 199€/year, cancel anytime before renewal.

Shell Midstream Operating LLC, an indirect subsidiary of Shell plc, has entered into a definitive agreement to sell its 16.125% stake in Colonial Enterprises Inc. to Colossus AcquireCo LLC, a wholly owned subsidiary of Brookfield Infrastructure Partners L.P. and its institutional partners. The transaction amounts to USD 1.45 billion, including approximately USD 500 million in non-recourse debt. Completion of the sale is subject to regulatory approvals and is expected in the fourth quarter of 2025.

A joint operation between five shareholders

All shareholders of Colonial Enterprises, including Shell, have agreed to sell 100% of their shares to Brookfield. Colonial is currently owned by five entities: Koch Capital Investments Company, LLC (28.088%), KKR-Keats Pipeline Investors, L.P. (23.443%), Caisse de dépôt et placement du Québec (16.549%), IFM Investors (15.795%), and Shell Midstream Operating LLC (16.125%). The transaction will enable Brookfield to gain full control of Colonial, which wholly owns Colonial Pipeline Company (CPC) as well as Colonial Marketing Company.

A strategic repositioning for Shell

According to Andrew Smith, President of Shell Trading & Supply, this divestment is part of a drive to streamline operations and focus on segments where the group holds a competitive advantage. Shell Midstream Operating LLC, the leading pipeline operator in the Gulf of Mexico, transports approximately 1.5 billion barrels annually of crude oil, refined products, chemicals and natural gas liquids (NGLs) through a network spanning twelve US states.

A key asset in hydrocarbon transport

Colonial Pipeline Company operates a petroleum products transportation network linking the US Gulf Coast to the Atlantic Seaboard. Although it functions as an independent entity, it plays a critical role in American energy logistics. By divesting its stake, Shell is withdrawing from a non-operated asset, thereby reinforcing its strategy focused on directly managed assets and areas offering high operational leverage.

  • Popular on energynews.pro
The United States Sanctions Greek Shipper for Iranian Oil Trafficking
Metacon confirms partial delivery and receives EUR 14.9 million
Soluna crosses one gigawatt milestone with two new data centres in Texas
California launches public tender for hydrogen transportation services
Canadian Utilities secures AUC approval for Yellowhead gas pipeline project
Washington grants sixth sanctions extension to Serbian oil firm NIS
The United States extends a 30-day reprieve to NIS, controlled by Gazprom, as Serbia seeks to maintain energy security amid pressure on the Russian energy sector.
CNOOC Limited records 6.1% increase in production for H1 2025
With net output reaching 384.6 million barrels of oil equivalent, CNOOC Limited continues its expansion, strengthening both domestic and international capacities despite volatile crude oil prices.
Talos discovers Daenerys in the Gulf, potential addition of 50 mn boe
The Daenerys oil discovery could increase Talos Energy’s proved reserves by more than 25% and reach 65,000 barrels per day, marking a strategic shift in its Gulf of Mexico portfolio.
Trump’s administration imposes 50% tariffs on Indian exports starting Wednesday
The United States will apply 50% tariffs on Indian exports in response to New Delhi’s purchases of Russian oil, further straining trade relations between the two partners.
The global petrochemical filtration market will reach $6.76bn by 2030
Rising energy demand is driving investments in petrochemical filtration, a market growing at an average annual rate of 5.9% through 2030.
Chevron eyes Libya return after fifteen years away from the oil market
Chevron has opened talks with Libya’s National Oil Corporation on a possible return to exploration and production after leaving the country in 2010 due to unsuccessful drilling.
Canada launches consultation on offshore drilling monitoring
The Impact Assessment Agency of Canada opens public consultation on its 2024-2025 draft monitoring report for offshore oil and gas exploratory drilling off Newfoundland and Labrador.
Cenovus acquires MEG Energy for $7.9 billion in strategic deal
Cenovus Energy announces the acquisition of MEG Energy through a mixed transaction aimed at strengthening its position in oil sands while optimizing cost structure and integrated production.
Vantage Drilling extends conditional agreement for the Platinum Explorer rig
Vantage Drilling International Ltd. extends the validity of its conditional letter of award until August 29, without changes to the initial terms.
Libya’s NOC Plans Bilateral Forum with American Energy Stakeholders
Libya is preparing to host an energy forum in partnership with American companies to boost investment in its oil and gas sectors.
BOEM validates final review for 30 offshore sales in the Gulf of America
The Bureau of Ocean Energy Management formalizes a strategic environmental review, setting the framework for 30 oil sales in the Gulf of America by 2040, in line with a new federal law and current executive directives.
Hungary Seeks U.S. Support After New Disruptions on the Druzhba Pipeline
Amid repeated disruptions on the Druzhba pipeline, attributed to Ukrainian strikes, Hungary has requested U.S. support to secure its oil supply.
Aker BP quadruples estimates for Omega Alfa field in the North Sea
Norwegian producer Aker BP raises its oil potential forecast for the Omega Alfa well, part of the Yggdrasil project, with estimated resources reaching up to 134 million barrels of oil equivalent.
BP Restarts Whiting Refinery After Flooding: Regional Market Pressures Emerge
The gradual restart of BP’s Whiting refinery following severe flooding is driving price and logistics adjustments across several Midwestern U.S. states.
Moretti expected to chair Petrobras board with ministerial backing
Bruno Moretti, current special secretary to the presidency, is in pole position to lead Petrobras’ board of directors after Pietro Mendes’ resignation for a regulatory role.
Next Bridge Raises $6 Million to Fund Panther Project in Louisiana
Next Bridge Hydrocarbons completes a $6 million private debt raise to support its involvement in the Panther project while restructuring part of its existing debt.
Sinopec Shanghai Posts Half-Year Loss Amid Declining Petrochemical Demand
Sinopec Shanghai Petrochemical reported a net loss in the first half of 2025, impacted by reduced demand for fuels and chemical products, as well as declining sales volumes.
Togolese ZIH Acquires Petrogal GB with Structured Financing from Ecobank
Zener International Holding takes over Petrogal’s assets in Guinea-Bissau, backed by a $24 million structured financing deal arranged with support from Ecobank and the West African Development Bank.
Pietro Mendes resigns from Petrobras to lead Brazilian oil agency ANP
Petrobras board chairman Pietro Mendes resigned after his appointment to lead the National Petroleum Agency, confirmed by the Senate.
Bahrain signs strategic energy agreement with EOG Resources
Bahrain has signed an energy concession agreement with EOG Resources and Bapco Energies, reinforcing its national strategy and opening the way to new opportunities in oil and gas exploration.

Log in to read this article

You'll also have access to a selection of our best content.

or

Go unlimited with our annual offer: €99 for the 1styear year, then € 199/year.

SUBSCRIBE - €99