Exxon to sell large part of Tonen stake for about $3.9 billion

29 Jan, 2012

Exxon Mobil plans to sell a large part of its 50 percent stake in TonenGeneral Sekiyu KK back to its Japanese refining partner in a deal that could be worth about 300 billion yen ($3.9 billion), and will make an announcement as early as Monday, four sources with direct knowledge of the matter said.
Exxon Mobil will retain about a 20 percent stake in TonenGeneral but the deal will mark a de facto retreat from the world's third-largest economy by the US oil giant, which is focusing its resources on emerging markets and development of natural resources. The move could also spark realignment among Japan's oil refiners, which have been cutting capacity to cope with falling demand caused by a weak economy and a shift to more efficient and environmentally friendly forms of energy, analysts have said. Reuters reported earlier this month that Exxon was in talks to sell part of the stake back to TonenGeneral.

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