Royal Dutch Shell has formally submitted applications to the U.S. Office of Foreign Assets Control (OFAC) seeking permission to extract natural gas from two transboundary fields jointly held by Trinidad and Tobago and Venezuela. According to Energy Minister Roodal Moonilal, the combined reserves of the Dragon and Osprey fields are estimated at approximately 3.4 trillion cubic feet (tcf) of recoverable gas. Shell’s move follows a November 2025 bilateral agreement between Port of Spain and Caracas designed to facilitate cross-border operations. The company aims to activate its on-stream drilling platform, which has a nameplate capacity of 600 million cubic feet per day (mmcf/d), by Q3 2026. Approval from OFAC would unlock export routes to regional LNG terminals, bolstering Shell’s supply into the Atlantic basin and supporting its target to lift global gas production by 5% this year.

As part of its portfolio optimization strategy, Shell is evaluating the divestment of its 22% stake in the Vaca Muerta unconventional shale basin. The asset package includes interests in two major blocks—Loma La Lata and Coirón Amargo Norte—which collectively produced an average of 200,000 barrels of oil equivalent per day (boe/d) in 2025. Sources indicate Shell has held preliminary talks with both local producers and international private-equity firms, targeting a transaction value in the range of $1.5–2.0 billion. Management has cited rising operational costs, regulatory uncertainties on new well regulations, and the need to redeploy capital toward higher-return projects in the U.S. Permian and Middle East as drivers of the potential sale. A final decision is expected by mid-year, with any proceeds earmarked for debt reduction and share buybacks.