Chevron Corporation, an American multinational energy corporation, is selling its 50 percent stake in Caltex Australia Ltd, an Australian oil refiner, for about US$4.62 billion.
Sources said the continuous global oil price decline has forced the California energy company to sell its stake in Caltex Australia. Sources said the stake is worth US$4.62 billion, in what can be considered as Australia’s biggest-ever block trade.
Caltex Australia is 50 percent owned by Chevron and 50 percent owned by Australian shareholders. It operates two petroleum refineries in Australia – one at Kurnelly in Sydney and another at Lytton in Brisbane.
Without giving further details about its plan to exit Caltex Australia, Chevron said in a statement that the Asia Pacific region will remain a core strategic focus.
The company also said that the announcement last Friday does not change its commitment to its massive liquefied natural gas projects in Gorgon and Wheatstone.
Headquartered in San Ramon, California, Chevron is active in more than 180 countries around the world, engaging in every aspect of the oil, gas and geothermal energy industries.
The block is the biggest in Australia’s history, leap-frogging Royal Dutch Shell’s $3.3 billion and $3.2 billion trades in 2010 and 2014, respectively. Both trades were to sell down Shell’s position in Woodside Petroleum.