Shell eyes new Brazilian assets ahead of BG deal
* Shell earmarks up to $5 bln for further acquisitions
* Oil majors to focus on Brazil's oil, LNG after BG deal
* Shell to sell $30 bln in assets by 2018
By Ron Bousso
LONDON, Aug 7 (Reuters) - Royal Dutch Shell is considering investing billions in Brazil, set to become a focal point after the planned acquisition of BG Group, even as it prepares to sell huge chunks of its business to pay for the $70 bln deal.
Despite a broad drive to cut spending in the face of persistently low oil prices, Chief Executive Ben Van Beurden remains steadfast in his plans to buy BG, which will transform Shell into the world's biggest liquefied natural gas (LNG) supplier.
The company has announced plans to sell around $30 billion in assets between 2016 and 2018 to improve its balance sheet and focus on its core deepwater oil and LNG business.
The BG deal will make Shell the largest foreign investor in Brazil's coveted deepwater oil fields.
According to several sources familiar with the company, it has earmarked up to $5 billion for new acquisitions, mainly in Brazil where state-run oil company Petrobras is selling assets worth nearly $14 billion amid a vast corruption scandal that has engulfed the company and the government. Continuación...