Under the terms of the merger agreement, Shell U SA will acquire all the remaining common units representing limited partner interests in Shell Midstream Partners held by the public by paying $15.85 per share in cash.
Shell Midstream Partners owns pipelines and other midstream and logistics assets in the US.
The transaction is planned to be closed in the fourth quarter of this year and is subject to customary closing conditions.
In a press statement, Shell U SA said: “A subsidiary of Shell U SA, as the holder of a majority of the outstanding SHLX common units, has delivered its consent to approve the transaction concurrently with the execution of the merger agreement.
“As a result, SHLX has not solicited, and is not soliciting, approval of the transaction by any other holders of SHLX common units.”
The Jackdaw field, which is planned to start production in the mid-2020s, will feature a wellhead platform and subsea infrastructure. The platform will be tied back to Shell’s existing Shearwater gas hub.
Scheduled to come online in the middle of this decade, the project is expected to account for nearly 6% of the projected UK North Sea gas production.