Shell has agreed to sell its downstream fuels business in Denmark, excluding its 68,000 barrel-per-day (bpd) Fredericia refinery, to Canada’s Alimentation Couche-Tard. Shell continues to seek a buyer for the refinery.
The sale includes Shell’s aviation, commercial, retail fuels, and trading and supply businesses. Shell owns 321 retail outlets in Denmark and has a 21% market share. The sale includes a trademark license agreement, under which Shell’s retail brand will remain visible though the Shell-branded retail network and in the wholesale fuels segment.
The businesses will be managed by Statoil Fuel and Retail, a wholly owned subsidiary of Couche-Tard. In Europe, Couche-Tard is a leader in convenience store and transport fuels in Scandinavian and Baltic countries.
In 2009, Shell announced plans to shed 15% of its worldwide refining capacity and 35% of its retail markets. It has so far sold more than 1.6 million bpd of less profitable refining capacity since 2002.
The sale is subject to regulatory approvals and is expected to be complete this year.