Shell has agreed to sell its entire stake in Shell Nigeria Gas Group to Nigerian energy company Vaaris Energy Limited.

The agreement was announced on Tuesday, October 13, although the financial terms of the transaction were not disclosed.

Established in 1998, Shell Nigeria Gas supplies natural gas to industrial and commercial customers through about 170 kilometres of pipelines across Ogun, Abia and Rivers states. The business serves more than 130 customers.

The transaction is subject to regulatory approval, while the business is expected to continue operating as usual until the sale is completed.