Shell is holding talks with Saudi Aramco to sell the gas stations it owns in Malaysia, which is considered the second largest network of its kind in the country, in a deal worth close to one billion dollars.

Shell declined to comment on the talks, but confirmed that Malaysia is an important market for the company.

Shell has gas stations throughout Malaysia, which is located in Southeast Asia, and no other company owns stations except the Malaysian government company, Petronas.

Shell sells industrial lubricants and produces crude oil and natural gas off the coast of the Malaysian states of Sarawak and Sabah, and is a key partner in two companies working on two liquefied natural gas projects.

The sale comes in light of the efforts of Shell CEO Wael Sawan to focus the company’s operations on the most profitable activities. The company is looking to sell 500 gas stations during the next year 2025, and the company is also in the process of selling the refinery and petrochemical complex in Singapore.

Shell's efforts to sell its fuel stations in Malaysia are consistent with its move to sell its refinery on Bukom Island in Singapore, which supplies the network.

Aramco does not have fuel stations in Malaysia, although it owns 50% of the Pengerang refinery, which is located in the state of Johor. Its production capacity is 300,000 barrels per day and is considered a joint venture with Petronas, which sells and exports fuel locally.

Aramco operates gas stations in Saudi Arabia through joint projects with the French company Total Energy and the South Korean company S-Oil.

Shell achieved profits amounting to $7.7 billion during the first quarter of 2024, and the company aims to increase demand for its oil and liquefied natural gas products as a result of navigation disturbances in the Red Sea in addition to the disruption of many Russian oil refineries.