Shell Nigeria Gas sells pipeline network to Vaaris Energy

On October 13, Shell Nigeria Gas announced its decision to sell its entire interest in the distribution group to Nigerian firm Vaaris Energy Limited. This transaction involves a 170-kilometre pipeline network that serves over 130 businesses across Ogun, Abia, and Rivers states.

The financial terms of the deal have not been disclosed, and its completion is contingent upon regulatory conditions and approvals. Shell Nigeria Gas, established in 1998, focuses on the domestic distribution of piped natural gas to industrial clients, rather than upstream oil production or international gas trading.

The sale includes Shell Nigeria Gas Holding B.V., which holds all but one share in Shell Nigeria Gas Limited. Until the sale is finalized, Shell confirms that the business will continue to operate as part of its group and serve its customers as usual.

For Vaaris Energy, this acquisition provides an established operating business with existing customer connections, although the evaluation of the acquisition requires further data on gas volumes and supply agreements.