Technip, Paris, (NYSE Euronext, Paris: TEC) plans to buy substantially all of the energy and chemicals business of The Shaw Group Inc., Baton Rouge, La., (NYSE: SHAW) for approximately $300 million in cash.

Shaw’s energy and chemicals segment offers consulting, technology licensing, project management, engineering, procurement, construction, commissioning, and startup services for the oil and gas, refining, petrochemical, and upstream industries.

Shaw will retain energy and chemicals personnel in its Baton Rouge office, which will be integrated into the company’s plant services division, and Shaw Consulting International Inc., which will be incorporated into Shaw’s environmental and infrastructure group.

Shaw also will retain its Toronto-based operations and is reviewing options regarding future plans for this office. Additionally, Shaw will maintain its obligations under an engineering, procurement and construction contract associated with a large ethylene plant in southeastern Asia that is now approximately 98% complete.

Shaw and Technip also have agreed to work toward developing future business relationships involving Shaw’s core business units.

Shaw chairman, president and chief executive J.M. Bernhard Jr. says, “We believe this divestiture creates the greatest value for our shareholders, while allowing Shaw to pursue additional opportunities for growth in the primary industries we serve. Shaw will continue to focus our efforts on growing our leadership positions in our core business lines and ensuring excellence and consistency across all operations.”

UBS Investment Bank is financial advisor and Vinson & Elkins LLP is legal advisor to Shaw.

The divestiture is targeted to be complete in the fourth quarter 2012.