Shell Petroleum B.V. has signed an agreement to sell its entire stake in Shell Nigeria Gas Group to Vaaris Energy Limited, a Nigerian company, marking a major shift in its domestic gas distribution operations.
The agreement covers Shell’s domestic gas distribution business in Nigeria, according to a statement issued on Tuesday.
Under the deal, Vaaris Energy will acquire Shell’s full interest in the business as the international energy giant moves to exit Nigeria’s domestic gas distribution sector.
The transaction places the Nigerian company in line to take over a business focused on supplying gas to domestic customers, although details of the financial terms and the expected completion date were not disclosed in the information provided.
Shell’s latest move comes amid changes in its Nigerian portfolio, as the company reshapes its business interests in the country’s oil and gas industry.
The sale will transfer ownership of the domestic gas distribution operation to Vaaris Energy, subject to the applicable transaction requirements and any necessary approvals.
Further details on the completion of the deal and Vaaris Energy’s plans for the business are expected to clarify the implications for Nigeria’s domestic gas market.
