Reliance Industries plans to sell stake in US shale JV

Reliance Industries Ltd (RIL) is reportedly planning to sell its 45 per cent stake in the US-based Eagle Ford shale acreage for around $4.5 billion. In June 2010, RIL had bought a 45 per cent interest in Pioneer Natural Resources Co's Eagle Ford shale formation in South Texas for $1.31 billion. According to its June quarter result, RIL has invested a total of $3.91 billion in the Pioneer JV.
 
Pioneer Natural Resources, the field operator, holds a 46 per cent stake in the Eagle Ford venture, while nine per cent is held by Alpha SAB's Newpeck LLC.
 
In addition to Eagle Ford, RIL holds stakes in two more shale ventures in the US - a 40 per cent interest in Chevron's Marcellus shale acreage and a 60 per cent one in Carrizo Oil and Gas Inc's Marcellus shale acreage in Central and Northeast Pennsylvania.
 
RIL's total investment in the US till July 2014 has been $7.36 billion. The company had invested a total of $2.04 billion in acquiring stakes in three companies, gaining access to 12 trillion cubic feet of reserves.
 
FOR COMPLETE REPORT READ: RIL to sell 45% in US shale JV for $4.5 bn