In a major portfolio move, Shell announced on October 13, 2026, that it is exiting Nigeria’s domestic gas distribution market after 25 years with the sale of its entire gas distribution business to Nigerian-owned Vaaris Energy Limited.
According to Shell Petroleum B.V., the agreement will see Shell Nigeria Gas Group transferred to Vaaris Energy, a privately held Nigerian energy company. The deal covers Shell Nigeria Gas Holding B.V., established in 2019, which holds all but one of the shares in Shell Nigeria Gas Limited. The transaction is subject to regulatory approvals and the financial terms were not disclosed.
Shell Nigeria Gas was established in 1998 and has built a 170-kilometre pipeline network across Ogun, Abia and Rivers states, supplying gas to over 130 industrial and commercial customers. Shell’s Country Chair in Nigeria, Elohor Aiboni, was quoted as saying the business had served customers for over 25 years and that the agreement would provide a stronger platform for its next chapter. She added that Shell would remain in Nigeria and continue to focus on its strategic deepwater and integrated gas positions, including its 25.6 percent stake in Nigeria LNG. Shell said the business would continue to operate as usual until completion.
