Shell’s planned exit from its U.S. chemicals business has drawn interest from major industry players, including Exxon Mobil and LyondellBasell, as well as private equity firm Apollo and Kuwait Petroleum Corporation.
The British energy major has invited non-binding offers for its U.S. chemicals portfolio, which includes four plants across Louisiana, Texas, and Pennsylvania. The Monaca complex in Pennsylvania, which began operations in 2022 after a $14 billion investment, is a key asset in the portfolio and has an annual production capacity of 1.6 million tonnes of polymers.
Industry sources indicate the assets could fetch as much as $8 billion, a valuation that reflects a significant discount to Shell’s original investment. The potential sale aligns with Shell’s strategy to divest underperforming operations, though the company has also begun marketing its European chemicals assets, which are expected to command a substantially lower value.
Shell’s move follows a broader trend of energy majors reassessing their chemicals businesses amid shifting market dynamics and weaker margins.
