ROYAL DUTCH SHELL PLC DOTCOM: Financial Times: R Dutch Shell may sell LPG in parts: Tuesday 17 January 2006

By Carola Hoyos

Published: January 17 2006

Royal Dutch Shell, the Anglo-Dutch energy group, is considering selling in parts the liquefied petroleum gas business it has been trying to auction off for more than a year.

The group has shortlisted bidders for the unit, which was initially valued at $2bn (£1.1bn) but could now go for less.

The LPG business had earnings of $400m in 2003, but the company guidance for the division is for earnings before interest, tax, depreciation and amortisation of €200m (£136m). The LPG unit's large French subsidiary has had particularly disappointing 2005 earnings.

Shell says that there are several bidders for the group and that it did not decide to contemplate a break-up because of the low level of interest from potential buyers.

The names of the bidders were not released.

Carola Hoyas

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