Shell To Sell Its Nigeria’s Gas Distribution Business Stake To Vaaris Energy
The Dutch oil giant a statement on Tuesday said the deal, which is subject to regulatory conditions and approvals, covered Shell Nigeria Gas Holding B.V. established in 2019, which holds all but one of the shares in SNG Limited. Speaking on the agreement, Shell’s country chair in Nigeria, Elohor Aiboni said Shell Nigeria Gas had served industrial and commercial customers in Nigeria “for more than 25 years, supported by the commitment and expertise of its people. “We believe this agreement provides a much stronger platform for the business’ next chapter under new ownership.
Shell continues to focus on strategic Deepwater and Integrated Gas positions in Nigeria,” Aiboni said. She added that SNG Group would remain part of the company and continue to serve its customers and operate as usual until the transaction is completed. Shell said the sale aligns with its strategy to simplify its portfolio and concentrate investment in areas where it has competitive strengths. The statement said the company’s continued focus on deepwater and integrated gas operations in Nigeria, including its interest in Nigeria LNG, reflects the strategy.
According to the statement, SNG does not engage in upstream gas production, Liquefied Natural Gas (LNG), or international gas trading. Established in 1998, SNG supplies natural gas to industrial and commercial customers and operates about 170 kilometres of pipeline infrastructure across Ogun, Abia, and Rivers states. Vaaris Energy is a Nigerian energy company with interests across the oil and gas value chain and an existing operational presence in the country
