Update: Market Chatter: Shell, Phillips 66 Weighing Sale of Explorer Pipeline Stakes

MT Newswires Live
07/30

(Updates to add companies declined to comment in fourth paragraph)

Shell (SHEL) and Phillips 66 (PSX) are exploring a sale of their combined stakes in the Explorer refined products pipeline, in a deal that could value the asset at around $3.5 billion, Reuters reported Wednesday, citing people familiar with the matter.

Shell and Phillips 66 together hold about 61% of the entity that owns the pipeline, with Energy Transfer (ET) and MPLX (MPLX) owning the rest, Reuters reported.

Energy Transfer and MPLX could join the sale process if buyer interest is strong enough to pursue the full pipeline, the report said, adding that there is no guarantee a deal will be reached.

Shell and Phillips 66 declined comment from MT Newswires.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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