Exxon Mobil Corp. has called off the potential multibillion-dollar sale of its oil and gas assets in Australia's Bass Strait, the company's local affiliate said on Nov. 28.
The decision by the U.S. oil major comes just six weeks after the deadline for indicative bids for the portfolio set by adviser JPMorgan.
Exxon Mobil decided to keep the producing assets it operates in the Gippsland Basin "after completing an extensive market evaluation," a spokesman for local affiliate Esso Australia told Reuters in an email.
"We believe Gippsland Basin and the Kipper unit are more valuable as part of our portfolio and we will continue to operate rather than divest," he said.
The move was first reported in the Australian Financial Review, which said the process had not yielded attractive offers.
The rig count fell for the past four months and production growth in the Permian Basin and other key shale basins have slowed as oil prices fell and many independent shale companies cut spending.
U.S. oil rigs rose seven to 401 this week, while gas rigs fell one to 101, Baker Hughes said.
U.S. oil rigs rose 10 to 397 this week, up from 172 a year ago, which was their lowest since 2005 before the shale boom boosted activity.