British energy giant sells Nigerian gas business

Shell faces a UK trial next year as Niger Delta communities seek compensation and cleanup over oil spills they say devastated their land and waterways British energy giant Shell has agreed to sell its domestic gas distribution business in Nigeria, further reshaping its operations in the West African country amid unresolved legal battles over oil pollution.

The company announced on Tuesday that Vaaris Energy, a privately owned Nigerian firm, will acquire its entire interest in Shell Nigeria Gas Group.

Financial terms were not disclosed, and the transaction requires regulatory approvals.

Operations will continue under Shell until completion.

Established in 1998, the business supplies more than 130 industrial and commercial customers through around 170 kilometers of pipelines across Ogun, Abia, and Rivers states.

Shell said the sale would simplify its portfolio and concentrate investment where it has competitive strengths.

“We believe this agreement provides a much stronger platform for the business’ next chapter under new ownership,” Shell’s chair in Nigeria, Elohor Aiboni, said.

The deal covers gas distribution rather than production or exports.

Shell will retain its deepwater oil and gas operations and its interest in Nigeria LNG.

READ MORE: Africans sue British oil giant for $310 million – Reuters The company, active in Nigeria since 1937, completed the sale of its onshore subsidiary, Shell Petroleum Development Company of Nigeria (SPDC), to the Renaissance consortium in March 2025.

The agreement announced in 2024 provided for payments of up to $2.4 billion.

Shell’s operations in Africa’s most populous nation have been marked by long-running disputes over oil pollution.

Residents of Ogale and Bille in the Niger Delta are seeking compensation and cleanup over spills they say devastated their land and waterways.

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