Exxon, Shell Seek To Offload California Oil & Gas Joint Venture: Report

Exxon Mobil Corp XOM and Shell Plc SHEL are in talks with a buyer to divest their Aera joint venture, Reuters reported citing three people with knowledge of the matter.
According to the Reuters report, JPMorgan Chase is the financial adviser for the possible divestiture and has been in talks with several potential buyers.
After a surge in energy prices, demand for oil assets is increasing, and listed companies are looking to offload their older operations to reduce greenhouse gas emissions.
Exxon and Shell hinted at focusing on larger-scale oil fields and liquefied natural gas projects and are selling older properties to repay debt and investing in new areas.
According to its website, Aera is one of California's largest oil producers. It pumps 125,000 barrels of oil and 32 million cubic feet of natural gas daily. It generates about $1 billion a year in cash.
Any deal could potentially allow Exxon to hit a target of selling $15 billion in assets it set four years ago. The company wants to focus on Guyana, Brazil offshore, and liquefied natural gas projects.
Price Action: XOM stock is down 1.41% at $94.24, and SHEL shares are down 0.70% at $52.61 during the premarket session on the last check Thursday.
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