Shell strengthens Asian LNG leadership, exits Singapore chemicals site

Shell has completed two strategic transactions in Singapore, marking a significant shift in its regional portfolio with the acquisition of Pavilion Energy and the divestment of its interest in the Energy and Chemicals Park.

Through its subsidiary Shell Eastern Trading, the company finalised the purchase of Pavilion Energy Pte. Ltd., enhancing its global liquefied natural gas (LNG) capabilities. Pavilion Energy, based in Singapore, manages a portfolio of approximately 6.5 million tonnes per annum (mtpa) of long-term LNG supply and offtake contracts. The acquisition includes regasification capacity in Singapore, Spain and the UK, as well as a growing LNG bunkering operation.

This move aligns with Shell’s goal to expand its LNG sales by 4–5% annually through to 2030. The assets acquired will be integrated into Shell’s existing LNG operations, supporting its ambition to remain a global leader in low-carbon energy supply.

Simultaneously, Shell has completed the sale of its Energy and Chemicals Park in Singapore to CAPGC, a joint venture between Chandra Asri and Glencore. The divestment, achieved through the transfer of shares in Aster Chemicals and Energy Pte. Ltd., is part of Shell’s strategy to streamline its Chemicals and Products business.

Despite the exit from chemical operations at the site, Shell reaffirmed its commitment to Singapore as a regional hub for marketing and trading. Staff at the facility will remain in place under the new ownership, maintaining operational continuity and safety.

Shell’s trading and LNG supply businesses remain active in Singapore, including its efforts to grow electric vehicle charging infrastructure and support the country’s energy transition.