Chevron Corporation, a renowned multinational energy corporation headquartered in California, United States, has agreed to sell all its shares in CTTR (Chevron Trinidad and Tobago Resources SRL) and in Trinling Limited, an LNG marketing & transport firm to Royal Dutch Shell Plc. The well-known oil & gas market player will acquire a stake of 50% in each of the aforementioned firms for a valuation of around USD 250 million.

As per the transaction, Shell’s BG International Limited will acquire CTTR’s non-operated working interest in Block 5(a), Block E, and Block 6 which comprises Starfish, Dolphin, and Dolphin Deep natural gas fields located at East Coast Marine Area in offshore Trinidad. Chevron Trinidad and Tobago Resources SRL also holds more than half of the operating interest across the Manatee Area of Block 6 (d), which includes a ten trillion cubic feet Loran Manatee gas field. This acquisition is expected to be completed by mid-2017 and will help Royal Dutch Shell PLC to expand its oil & gas operations across Trinidad & Tobago.

In another such acquisition move, Ensco Plc, one of the global leaders in offshore drilling market, is set to acquire Atwood Oceanics Incorporation for nearly USD 863 million. This deal is expected to prove rather beneficial for the Ensco’s fleet as a result of the addition of high-specification offshore oil rigs. After completion of the acquisition in the third quarter of 2017, the company will possess a fleet of 63 offshore oil rigs.

Atwood, an offshore oil drilling contractor based in Houston, Texas, holds  nine offshore drilling establishments, six ultra-deep-water floaters, and five high-specification jack-ups. Two of its ultra-deep-water drill ships are under construction.

As a part of the agreement between these offshore oil drilling giants, Ensco's shares are liable to be transferred to Atwood’s shareholders at a ratio of 1.6:1. Ensco has collaborated with HSBC Securities Incorporation, Morgan Stanley & Co LLC, and DnB Markets Incorporation to create its own panel of financial consultants along with a selection of Altham & Watkins LLP as a legal guide to successfully carry out the acquisition.

This deal will help Ensco to increase its operations in offshore deep water as well as shallow-water drilling business across the globe and explore & penetrate new markets. Reportedly, even Atwood will heavily benefit from this agreement, as it will help the company completely focus on the shale drilling activities and grow its profits through the curtailment of heavy expenditure on costly offshore ventures.