Shell to sell Gulf of Mexico fields to W&T Offshore

Fields to be sold produce 18,000 barrels of oil per day.

Shell will sell its interest in six Gulf of Mexico oil and gas fields to W&T Energy VI, a wholly owned subsidiary of W&T Offshore, for $450m.

The divested fields are Tahoe, Southeast Tahoe, Droshky, Marlin and Dorado, and a Gulf of Mexico producing shelf property, and are predominately mature gas fields.

These fields produce some 18,000 barrels of oil equivalent per day and have proved reserves of some 27 million barrels of oil equivalent (net to Shell's interest).

A definitive agreement has been signed for all fields except for one of the fields, a Gulf of Mexico producing shelf property and associated assets, which is the subject of a letter of intent and is currently anticipated to close before year-end.

Shell director of Upstream Americas Marvin Odum said that the company is focusing its investment on the most promising growth opportunities and that means selling some fields that no longer fit its strategy.

"This is part of our plan to divest $7bn-$8bn in assets worldwide in 2010 and 2011," Odum said.