Shell shuffles its deck in Asia, Australia

THE HAGUE, Netherlands, Dec. 19 (UPI) -- The second largest petroleum refiner in Japan now owns about a third of the national base of supermajor Royal Dutch Shell, the company announced.

Japan's Idemitsu Kosan Co. said its effort to take on shares of the Shell unit, Showa Shell, ended with a $1.4 billion deal following approval from anti-trust regulators. The merger was the source of bitter internal disputes from the Japanese company's top brass.

John Abbot, the director of Shell's refinery operations, said the deal ends a long relationship, but squares with the company's effort to streamline its portfolio.

"Shell has enjoyed a long and valuable partnership with Showa Shell since the year 1900," he said in a statement.

The Dutch supermajor has been reprioritizing its operations since its merger with British energy company BG Group early in 2016. Last week, Simon Henry, appointed as chief financial officer in 2009, stepped down. Jessica Uhl, whose previous work entailed oversight over parts of Shell's shale business in North America, takes over for Henry starting in March.

Shell reported adjusted profits for the third quarter of around $2.8 billion. The company said it plans to spend about $25 billion next year, about 13 percent less than this year.

During the weekend, Shell signed an agreement to sell Australian aviation and fuels business to Viva Energy Australia for $250 million. Viva Energy is controlled by European energy trader Vitol Holdings.

"Shell's upstream operations in Australia, which include exploration, production and gas commercialization, are not impacted by this announcement," the company said in a statement. "Shell remains one of Australia's largest private sector investors."