By Ade Oyeyemi
Shell has agreed to transfer its entire stake in Shell Nigeria Gas Group to Vaaris Energy Limited, a Nigerian-owned company, in a move that will end its ownership of the domestic gas distribution business.
Shell Petroleum B.V. announced the transaction in a statement on Tuesday, confirming that the deal covers its interest in the business responsible for supplying gas to industrial and commercial customers in Nigeria.
The company said Shell Nigeria Gas had served businesses across the country for more than 25 years, supported by the expertise and commitment of its workforce.
Shell expressed confidence that the transaction would provide the business with fresh opportunities for growth under its new ownership.
“We believe this agreement provides a much stronger platform for the business’ next chapter under new ownership,” the company said.
Despite the planned exit from domestic gas distribution, Shell stated that it would continue to concentrate on its strategic deepwater and integrated gas operations in Nigeria.
The transaction marks a change in ownership for a business that has supplied gas to industrial and commercial customers in the country for more than two decades.
However, the company’s announcement did not disclose the financial terms of the deal or indicate when the transaction would be completed.
Further details about the transition were not immediately available as of the time of filing this report.
