Shell Petroleum B.V. has agreed to sell its entire stake in Shell Nigeria Gas Group to Nigerian energy company Vaaris Energy Limited. The sale reflects Shell’s decision to streamline its portfolio and focus investment on deepwater and integrated gas operations.
The deal requires regulatory approval and covers a domestic gas distribution business that serves more than 130 commercial and industrial customers across Ogun, Abia and Rivers states.
Founded in 1998, Shell Nigeria Gas Limited operates about 170 kilometres of pipelines that supply natural gas to commercial and industrial customers.
Shell’s Country Chair in Nigeria, Elohor Aiboni, said the business had served Nigerian customers for more than 25 years.
Aiboni said Shell Nigeria Gas had supported industrial and commercial customers for over 25 years through the dedication and expertise of its employees. She added that the agreement would give the business a stronger foundation for its next phase under new ownership. She also confirmed that Shell would continue to focus on deepwater and integrated gas operations in Nigeria.
The deal also covers Shell Nigeria Gas Holding B.V., which Shell established in 2019. The company holds all but one of the shares in Shell Nigeria Gas Limited.
Vaaris Energy Limited is a Nigerian energy company with interests across the oil and gas value chain and an established presence in the country.
Shell said the sale aligns with its plan to simplify its portfolio and direct investment towards areas where it has strong competitive advantages.
The company added that it would maintain its focus on deepwater and integrated gas operations in Nigeria, including its stake in Nigeria LNG.
Shell Nigeria Gas Group will remain part of Shell until the transaction receives the necessary approvals and reaches completion. In the meantime, the business will continue serving its customers and operating as usual.
Shell Nigeria Gas does not produce gas upstream, operate liquefied natural gas facilities, or engage in international gas trading.
source: https://guardian.ng/
African Energy Council