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BG Group

Agreement reached for $470m sale of GGCL stake

BG Group today announced it had reached agreement to sell its majority interest in India's Gujarat Gas Company Limited (GGCL) for approximately INR 24.6 billion or $470 million to GSPC Distribution Networks Limited, a subsidiary of Gujarat State Petroleum Corporation.

The agreement, which is subject to regulatory approval, involves the sale of BG Asia Pacific Holdings Pte Limited's 65.12% controlling interest in GGCL, India's largest private sector natural gas distribution company. The transaction is scheduled to complete during the first half of 2013.

BG Group Chief Executive Sir Frank Chapman said: "With this announcement, we have non-core asset sales agreements in place that will release some $4 billion from our balance sheet. We have made outstanding progress since announcing our two-year $5 billion release program only eight months ago, and we remain focused on the successful delivery of our growth projects."

-ends-

Notes to Editors:

BG Group plc (LSE: BG.L) is a world leader in natural gas, with a strategy focused on connecting competitively priced resources to specific, high-value markets. Active in more than 20 countries on five continents, BG Group has a broad portfolio of exploration and production, Liquefied Natural Gas (LNG) and transmission and distribution business interests. It combines a deep understanding of gas markets with a proven track record in finding and commercialising reserves. For further information visit:   www.bg-group.com

Picture Desks:

For images of BG Group visit: www.vismedia.co.uk (requires additional registration)

Contact:

Mark Todd:	+44 (0) 118 929 3110	mark.todd@bg-group.com
Kim Blomley:	+44 (0) 118 938 6568	kim.blomley@bg-group.com
Out of Hours Media Mobile:	+44 (0) 7917 185 707
Investor Relations:	+44 (0) 118 929 3025	invrel@bg-group.com

There are matters set out within this announcement that are forward-looking statements. Such statements are only predictions, and actual events or results may differ materially. For a discussion of important factors which could cause actual results to differ from these forward-looking statements, refer to
BG Group's Annual Report and Accounts for the year ended 31 December 2011. BG Group does not undertake any obligation to update publicly, or revise, forward-looking statements, whether as a result of new information, future events or otherwise, except to the extent legally required.

This information is provided by RNS

The company news service from the London Stock Exchange