Shell has reached an agreement with a Danish firm to sell its refining business in Denmark for $80 million (£60.6m).

Dansk Shell consists of the 70,000 barrels per day Fredericia refinery and local trading and supply activities.

The transaction with Dansk Olieselskab includes long term agreements for the supply of crude oil and feedstocks to the refinery.

Around 240 people employed by Dansk Shell will remain employed by the company as it transfers to new ownership.

Shell stated: “The divestment is consistent with Shell’s strategy to concentrate its downstream operations on areas where it can be most competitive.”

The sale is expected to be completed next year, subject to regulatory approval.