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Economy

Why Shell Is Selling All Fuel Stations in Indonesia—What It Means for Consumers

02 Oct, 2025
Why Shell Is Selling All Fuel Stations in Indonesia—What It Means for Consumers

Shell Indonesia will divest its entire public fuel station business in Indonesia starting in 2026. The sale involves the transfer of ownership of Shell-branded fuel stations to a new joint venture between Citadel Pacific Limited and Sefas Group.

Vice President Corporate Relations Shell Indonesia, Susi Hutapea, confirmed the move is not related to recent fuel shortages. She said Shell continues coordinating with the government and anticipates a smooth transition in the ownership process.

“There is no impact on the ownership transfer process of Shell’s fuel station business in Indonesia. All parties remain committed to the agreement,” she said on Sunday, September 28, 2025.

Citadel Pacific and Sefas Group Acquire Shell’s Fuel Network

Shell’s fuel station business includes a national network of around 200 retail outlets, more than 160 of which are directly owned by Shell, as well as a fuel terminal in Gresik, East Java.

The buyer, a joint venture between Citadel Pacific and Sefas Group, will take control of the entire fuel station network, along with its fuel supply and distribution activities. Shell confirmed that this transaction does not include its lubricants business in Indonesia.

Citadel Pacific is a diversified private holding company with operations across the Asia-Pacific region. It holds brand licenses for Shell in Guam, Saipan, Republic of Palau, Macau, and Hong Kong. Sefas Group, through PT Sefas Pelindotama, has distributed Shell lubricants in Indonesia since 1997 and operates extensively in Kalimantan and Java.

Shell Refocuses on Lubricants and Energy Infrastructure in Indonesia

Shell will retain its lubricants business, which includes a blending plant with a capacity of 300 million liters per year and a new grease manufacturing facility under construction in Marunda, with a projected capacity of 12 kilotons per year.

In 2022, Shell acquired EcoOils, a company with two processing facilities in Indonesia, as part of its effort to expand its low-carbon fuel portfolio in the region. Shell emphasized Indonesia remains a growth market for its lubricants segment.

Shell Brand to Remain in Fuel Market Through Licensing

After the ownership transfer is complete, the Shell brand will remain in Indonesia through a brand licensing agreement. Shell uses this model in over 50 markets worldwide, including for its Mobility & Convenience businesses.

“The licensing agreement allows the licensee to use the Shell brand according to Shell standards. This enables the licensee to benefit from the brand’s value,” said Susi.

Shell stated that daily operations of its fuel station network will not change and customer-facing teams will remain the same during and after the transition. The brand licensing will also ensure continued access to high-quality Shell fuels.

Strategic Exit, Not Market-Driven

Shell first announced the sale of its Indonesian fuel station business in May 2025. The company emphasized that this decision is based on long-term strategy and is not linked to recent fuel shortages.

“The divestment of our fuel station assets is part of our strategy to simplify Shell’s downstream portfolio and focus on higher-value areas,” said Susi in a written statement on May 23, 2025.

She stated that Shell remains committed to safe and reliable operations until the transition is complete, which is targeted for 2026, pending regulatory approvals.





SOURCE:

https://money.kompas.com/read/2025/09/28/173000726/shell-lepas-bisnis-spbu-di-indonesia-mulai-2026

https://www.liputan6.com/amp/6031806/profil-citadel-dan-sefas-group-pembeli-spbu-shell-di-indonesia

https://www.tempo.co/ekonomi/sejarah-bisnis-shell-dan-alasan-menjual-seluruh-spbu-di-indonesia-1523898


PHOTO: SHELL INDONESIA

This article was created with AI assistance.

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