Reliance Industries Limited to sell certain Eagleford shale play assets

Reliance Industries Limited said that its fully-owned step-down subsidiary — Reliance Eagleford Upstream Holding has signed agreements to sell its stake in certain upstream assets in the Eagleford shale play in Texas to Ensign Operating III.

With the deal, Reliance Industries Limited has sold all its shale gas assets and will exit from the shale gas business in North America.

A purchase and sale agreement (PSA) in this connection has been signed between Reliance Eagleford Upstream Holding and Ensign.

Reliance Industries Limited said that the sale is at a consideration higher than the present carrying value of the upstream assets.

Citigroup Global Markets was the financial advisor to the Indian conglomerate, while Gibson, Dunn & Crutcher was its legal counsel.